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    Do you wonder how much energy your small business uses and how much this costs your business? This may be because you’re not on the best deal for your specific business needs. If you are unsure, Utility Bidder can help check your current contract and find the best energy deal for your business.

    We understand that most businesses use between 15,000 and 25,000 kWh of energy annually. The average small business electricity costs and usage will fluctuate depending on the size of the premises and how it uses its energy. For example, the larger the business, the higher the energy consumption and billing.

    But how much electricity and gas does a small business use, and what are the best ways to cut energy consumption and lower gas and electricity bills?

    What is a SME?

    The official definition of SME is a business that has fewer than 250 employees and a turnover of less than €50 million.

    What is the average business electricity consumption?

    If you are unsure on how much electricity your business should be using, we have listed the average business electricity consumption below.

    A micro business should use an average of 5,000 to 15,000 kWh, small business is 15,000 to 25,000 and a medium business is 30,000 to 50,000. If your business doesn’t fit into any of these categories and your usage is more than 100,000 a year, your business energy supplier will identify you as a large business.

    To find out more about how energy for large businesses click here.

    Owner of small business
    renewable energy station

    What is an average business energy bill?

    Your business energy bill will be calculated depending on how much business gas and electricity you use at your premises.

    The tariff your business is currently on will also affect the cost of your energy bills. The two figures you should look for when checking your business utility bill include:

    Unit cost – Displayed in kilowatt-hours (kWh), this will set out the total you will be charged for each unit of business gas or electricity you use.

    Standing charge – This is a flat daily rate which cover the cost of getting the energy to your location and is charged regardless of your energy consumption.

    How to lower your business energy bills?

    If you want to reduce your energy rates, one of the first things you can look for a lower unit rate and lower standing charge than your current deal. By reducing either your unit rate or standing charge, you should be able to lower your utility bill.

    Nowadays, there are a variety of tariffs you can choose such as fixed or variable contracts which can make a huge difference in your utility bills especially during the current energy crisis.

    If you chose a variable rate tariff, your unit cost will change depending on the current market conditions. If the market prices increase, your unit cost will also increase even if your business gas and electricity usage is consistent.

    If you chose a fixed rate tariff, this results in the unit rate being fixed and you will pay the same rate for each unit of gas and electricity your business uses. Fixed tariffs protect you against price hikes similarly to what we saw at the end of 2021.

    How to reduce your average business energy bills?

    Reducing the amount of gas and electricity your business uses is the most effective way to cut down on your energy rates. The quickest way to reduce your electricity bills is to switch to a cheaper tariff lowering your unit rate and standing charge.

    Our energy experts can handle this process for you and find the bet small business energy suppliers for you.

    It is extremely important for company to secure a new business energy contract before the current one expires otherwise your energy supplier will put you on out of contract rates which are very expensive. Therefore it is crucial that businesses remember their renewal dates to make sure you never pay more than you need to.

    We understand that time is money and not all businesses will have time to do this which is why Utility Bidder can take care of this for you to ensure you never pay more than what you need to.

    How to lower your average business energy usage?

    It is becoming ever more important that businesses become more energy efficiency and lower their average business energy consumption. See below a few of the ways business energy for shops can be reduced:

    • Complete an energy audit
    • Purchase energy-efficient computers
    • Install energy-efficient lighting
    • Install energy generation technology
    • Encourage your employees to go green

    We understand that becoming more efficient on energy can be time-consuming, but we believe that even making a few changes can make a big difference on your average business energy consumption.

    Ways to Save Energy

    • Install motion-activated lighting across the building, as these will turn off automatically if no one’s in the room.
    • Replace standard bulbs with low energy options such as CFL bulbs which use less business electricity.  If you use fluorescent tube lighting in your office, you could also replace this for slim line fluorescent tubes, as these use 25% less business electricity.
    • Have a ‘switch-off’ culture for lights and equipment and ensure employees switch off all non-critical equipment when not in use.
    • Encourage colleagues to become more efficient on energy by doing tasks such as only filling kettles with as much water as is needed or turning off computers and any other electrical appliances when not in use.
    • Check energy efficiency measures when purchasing new equipment for your office, particularly for appliances such as fridges, freezers and dishwashers, as these provide a good indicator of how much it will cost to run them in the long-term.
    • Use smart technology– for example, smart thermostats will help you to keep better control of your heating.
    • Block up any draughts from doors and windows
    • Set the thermostat to around 20°C and time it to come on an hour before opening and go off an hour before closing

    What if your business energy bills are still too high?

    If your small business energy prices are still too high, you need to check the amount you are being charged for gas and electricity. You can look for the following costs on your bill:

    • Billing period charges – The total amount charged within the billing period
    • Outstanding charges – Any overdue money owed from previous bills
    • VAT charges – This will be charged at 20% or 5%, depending on the rate you pay
    • Total amount due – The amount you owe after adding up all the above
    • Cost breakdown – A breakdown of charges to highlight how your money is being used

    What uses the most energy at your small business?

    Indoor and outdoor lighting

    Lighting is one of the biggest expenses for small businesses and the type of bulbs your use will ultimately influence your business energy bill.

    Investing in energy efficient lighting is the best way to save money on your bill.

    Heating and cooling systems

    Regulating the temperature in your small business can require quite a bit of energy.

    In office buildings, heating and cooling can account for more than 40% of total energy consumption.

    This is especially true for offices based in colder climates.

    Computers and laptops

    Computers, laptops and accessories are also capable of drawing a lot of energy in your business.

    To reduce your average small business electricity consumption, it’s best to unplug laptops and work off the battery whenever possible to obtain energy savings.

    Printers and copy machines

    Depending on your industry, you may rely on printers, copy machines and other office equipment to operate your business.

    In light of these expenses, you may want to consider going paperless in your small business.

    Security systems

    Although most security cameras are only 2 to 15 watts, they’re often running 24/7, meaning they can use a sizable amount of energy over time.

    However, this small-business energy cost could be well worth the added protection you receive.

    Refrigerators and freezers

    Businesses in some industries, such as food service, depend on refrigerators, freezers and other equipment to keep their operations running.

    These types of appliances can consume a substantial amount of energy. One business energy-saving tip is to exchange outdated appliances for more energy-efficient models.

    Taking control of your small business’s energy consumption

    If you want to take control of your rising energy, we recommend taking some time to look at all of your energy costs and look into where savings could be made.

    Our energy experts are ready to help you save money on your business electricity today. Contact us today to find out more!

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        An estimate is fine if you don't have a bill to hand

        Go Back
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        Let’s save time, can we automatically gather meter information?

        ? What does this mean?
        To get your quotes at lightening speed we need several key pieces of information which can all be found on your electricity bill. But by simply ticking this box, we can search ‘industry held data’ to get your meter number, electricity consumption and current energy supplier. This means that we can get you quick quotes without asking you to dig out all of your paperwork. This is personal data therefore we need you to allow us to access this information.
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