Save Money on Energy CostsIf you own and/or operate a business, you should know that there are several options to reduce demand and save money on energy costs. The word “Demand” is used to describe a measure associated with the rate that energy, as a whole, is consumed. Demand associated with electrical companies that provide energy to businesses varies according to the time of the day, the day within a week, as well as the time of year. The term “Peak Demand” is used to describe highest levels of energy consumption during the day, the week, the month, and annually. While peaks in demand vary, all electrical companies operate as though they must meet peak demand. The amount that your business is charged for demand is based on the costs that the electrical company that you use pays to generate and transmit a certain capacity that is mostly idle. If you want to reduce your company’s energy costs, it is important that you learn a few methods on how to reduce the demand that your company is projecting.

The Most Popular Options for Reducing Demand in Your Business
There are several unique methods that may be used to reduce energy demand in your business. The goal is to ensure that your business is operating at maximum capacity, while ensuring that you save money. By taking the following steps, you will achieve success:

  1. The first and most effective way to reduce energy demand is to ensure that you eliminate older equipment pieces and install equipment that is considered to be more energy efficient. It does not matter what type of industry that you are part of, in today’s world, there are many new energy efficient options – as far as equipment is concerned – that will help in reducing the amount of electricity is required to operate.
  2. The second step to reducing energy demand is to make certain that all of your lighting systems are upgraded. This is typically much easier than transitioning to energy efficient equipment because there are several retrofits that are currently available. Not only will more modern lighting save you money in terms of less wattage, but, newer lighting systems do not generate as much heat. As a result, cooling requirements within your business will be eliminated.
  3. The next step to reducing energy demand is to actually downsize certain pieces of equipment within your business. For example, if you upgrade to energy efficient equipment and more efficient lighting, you can probably safely downsize the central air unit that cools your business. According to most electrical companies, an air conditioning unit typically results in a very high demand charge. By simply switching to a smaller unit, you will enjoy tremendous savings.

In Part 1 of this series, you have learned what demand is and how it impacts your energy consumption. You have also been introduced to 3 steps that you may take in order to reduce the demand within your business. Be sure to come back next week for Part 2 of our series. We will be providing you with more steps that you may take in order to quickly reduce the energy demand of your business. For more electrical news, click HERE.