With businesses becoming increasingly financially and environmentally conscious, it’s the perfect time to change behavioural patterns and therefore reduce painful business electricity costs.
A 2012 report by the Department for Environment, Food and Rural Affairs (Defra) highlighted that businesses across the United Kingdom could make a combined £4 billion annual saving on their energy bills through ‘resource efficiency’-a method of cutting costs with very little investment.
Providing evidence to support the benefits outlined in the report, Richard Gillies of Marks and Spencer went on to declare that their Plan A eco-efficiency initiatives had saved the business £50 million in the last year.
With the help of the Carbon Trust, including tips on reducing pressure and checking air quality to save money, business electricity customers who use air compressors can re-evaluate their purpose and make relatively small changes to trim their bills.
Looking at the Bigger Picture
Of course, while making significant improvements to the way you use an expensive piece of machinery is all worthwhile, looking at the bigger energy picture is essential.
Adopting a more energy efficient culture in the workplace is crucial to any ‘green’ and financially advantageous strategy.
Examine all of your business practices and the equipment they require to determine how energy efficient or otherwise your company really is.
Does your company have adequate heating and air conditioning systems in place? According to the Business Link think-tank, “heating and hot water costs can account for half of a business’ energy costs and half its carbon emissions.”
Attract New Customers by Displaying Your Green Credentials
If your business uses equipment that generates a fair amount of electricity, become more energy aware and take advantage of the information available to effectively maintain or update your existing systems, reduce wastage and decrease your business electricity spending at the same time.
How does this apply to businesses searching for ways to alleviate the burden of electricity costs?
Advice from energy think-tanks, including The Carbon Trust, estimates that companies can save up to 15% from their lighting bill simply by following easy guidelines; these include utilising daylight as much as possible, switching lights off in empty rooms and dimming lights in certain areas that are too bright.
Likewise with heating, setting the thermostat to 19⁰C achieves the optimum effect, with an average 8% rise in costs for each 1⁰C increase.
These may not appear to be revolutionary ideas but following these tips can produce noticeable savings.
Additionally, if your business is in the environment industry or has adequate finances to reduce carbon output and costs further, replacing outdated electricity guzzling machines with more efficient ones is also an option. Energy suppliers offer green energy tariffs where providers will commit to sourcing some of their energy for these particular customers from renewable resources, thus helping to promote environmentally friendly business credentials.
There might be an initial outlay but more efficient machinery and the attraction of a socially responsible company can have its own benefits and curb spending at the same time.
Understanding business needs is key to any company’s success and it’s perhaps never been so important to manage electricity usage and costs. Defra’s report went on to state that it “identifies the main barriers to taking the necessary action as behavioural, financial and a lack of information.”
Certainly, two of these three factors no longer have to be an issue; there is a plethora of information and help available to reduce business electricity bills. As identified, keeping abreast of market developments, combined with a robust approach to encouraging energy efficiency can potentially make all the difference to sustaining healthy profit margins.