What Is Average Business Energy Consumption?

If you are unsure of what the average consumption is for different types of businesses, it can be difficult to know if your business is using too much.

A useful method to gauge whether your average business energy consumption is excessive involves comparing it with that of other businesses of similar size. The cost of your business’s gas bill will fluctuate based on your business’s scale and the extent to which you consume energy.

For reference, the yearly average gas consumption stands at 10,000 kWh for microbusinesses, 25,000 kWh for small businesses, and 45,000 kWh for medium-sized businesses.

To provide you with a sense of the appropriate electricity usage for your business, here are the average consumption figures for different business sizes and demands.

The average electricity usage is 5,000-15,000 kWh for micro businesses, 15,000-25,000 kWh for small businesses and 30,000-50,000 kWh for medium sized businesses.

For businesses that use more than 100.000 kWh of electricity annually, energy suppliers will consider you a large business and handle your supply differently. For more information on this check out our information on large business utilities and contact our energy experts today.

We have covered how what the average energy usage is for businesses but what is the average electricity consumption for businesses. Find out below:

What is the average energy usage for a microbusiness?

The average annual energy usage for a microbusiness is:

• Average gas usage – 5,000 kWh and 15,000 kWh
• Average electricity usage – 5,000 kWh and 15,000 kWh

What is the average energy usage for a small business?

The average annual energy usage for a small business is:

• Average gas usage – 15,000 kWh and 30,000 kWh
• Average electricity usage- 15,000 kWh and 25,000 kWh

What is the average energy usage for a medium-sized business?

The average annual energy usage for a medium-sized business is:

• Average gas usage – 30,000 kWh and 65,000 kWh
• Average electricity usage – 25,000 kWh and 50,000 kWh

What is the average energy usage for a large business?

The average annual energy usage for a large business is:

• Average gas usage- 65,000 kWh
• Average electricity usage- 50,000 kWh

For businesses that use more than 50.000 kWh of electricity annually, most energy’ providers will consider you a large business and handle your supply differently. For more information on this check out our information on large business utilities and contact our energy experts today.

We can help your business find the right business energy tariff for your specific needs that has a lower unit rate and standing charge. By cutting just one of these charges, this could lower your business energy bills.

The type of tariff your business is on will also have an effect on how costly your bills will be. There are many different business energy contracts available but choosing a fixed or variable tariff can make a big difference.

The amount amount of energy that you are charged on a variable rate tariff will fluctuate based on the current energy market conditions. If prices are rising whilst on this type of business energy deal, your prices will increase even if your energy consumption is the same.

A fixed rate tariff means the price will be fixed and you’ll pay a flat rate for each unit of energy you use. Fixed rate tariffs are beneficial as they protect you against price rises such as the spikes higher energy bills we are currently seeing due to the energy crisis. This also makes it easier for business owners to budget as you know you will be charged a consistent rate.

The average business energy bill will depend on various factors especially how much gas and electricity you use at your business. These additional factors include the number of employees, the tariff you are on and if you are eligible for VAT and government levies.

The two figures you need to pay attention to on your energy bill include:

• Standing charge – This is a standard daily rate to cover the cost of getting the energy to your business premises and is charged regardless you have or haven’t used gas and electricity.
• Unit cost – This unit is measured in kilowatt-hours (kWh), this is the total you are charged for each unit of gas and electricity you use.

Each business will pay a different amount for their business gas as each will have different needs and average energy consumption. Find out more below what a business‘ average gas bill looks like.

Annually, a micro business will be charged £530, a small business will be £1,150 and a medium business will be £1,860.

These prices may vary depending on several factors such as the type of meter and location but if your business energy bills are considerably higher than this, you may be paying more than you need to. Let us help you save money on your business utility bills, contact us today to find out more.

Now you have an idea of the average gas usage and bills for various businesses, Check out our table below of the average business gas prices per kWh and standing charges:

We will now explain what an average electricity bill looks like for different size businesses. Check out our table below of the average business electricity prices per kWh and standing charges based on business size:

Many businesses have never switched business energy suppliers and will most likely be overpaying on their electricity bills. We can help you compare energy prices and switch business energy suppliers.

Below we have listed the business energy costs for each sector such as restaurants, hair salons, farms, dentists and newsagents.

Coffee Shop – Unit Rate – 13.42p, Standing Charge – 26.70p and Annual Cost – £2,109

Hair Salon – Unit Rate – 13.88p, Standing Charge – 27.23p and Annual Cost – £2,182

Small Farm – Unit Rate – 14.19p, Standing Charge – 24.21p and Annual Cost – £2,218

Dental Surgery – Unit Rate – 13.84p, Standing Charge – 27.61p and Annual Cost – £2,176

Restaurant – Unit Rate – 14.87p, Standing Charge – 25.46p and Annual Cost – £3,067

Newsagent – Unit Rate – 14.51p, Standing Charge – 24.28p and Annual Cost – £1,830

The annual energy consumption of your business is contingent upon factors such as your industry and energy utilization practices. Furthermore, the energy efficiency of your building contributes significantly, particularly when considering the heating of business premises.

Here is a breakdown of the UK’s top 10 biggest business energy consumers:

Commercial sectors – 169,972,450 MWh

Public administration – 64,883,770 MWh

Manufacturing and industrial sectors – 42,042,450 MWh

Chemical manufacturing – 40,728,260 MWh

Food, drink and tobacco manufacturing – 34,506,210 MWh

Mineral products manufacturing – 30,028,660 MWh

Printing and publishing – 21,294,530 MWh

Agriculture – 17,503,150 MWh

Mechanical engineering – 17,596,190 MWh

Iron, steel and metal manufacturing – 17,410,110 MWh

There are several actions businesses can do in-house to reduce their average business energy consumption and save on their energy bills. Examples of these include:

• Install energy-efficient equipment
• Switch to energy-efficient lighting
• Carry out an energy audit
• Discuss with employees how they can save energy
• Install energy generation equipment

Energy efficiency tips will be different for each business but even making a few small changes can make a big difference. For more information on energy saving trust how your business can save on its energy bills, get in touch today and compare business gas prices and electricity deals.

The most effective strategy for reducing your business’s electricity and gas expenses is by minimizing your consumption. Opting for a more economical rate is the swiftest and simplest approach to cutting costs. Our team of energy specialists can assist you in transitioning to a more budget-friendly tariff, tailoring a suitable arrangement for your business to enhance energy conservation.

It’s crucial to secure a new energy agreement prior to your existing one’s expiration. Otherwise, your energy supplier will automatically enrol you in higher-cost deemed rates. To ensure you’re never overpaying, stay vigilant about your contract’s end date and switch at the appropriate juncture. We recognize that this can be a time-consuming task, which many business owners may not have the time for. This is where Utility Bidder comes to the rescue. We manage your various energy provider contract renewals, ensuring that you don’t overspend on your business’s energy needs. With the appropriate contract in place, you can then explore additional methods of enhancing your business’s energy efficiency.

*All figures will fluctuate depending on the current energy market conditions.