As confirmed by the U.S. Bureau of Labor Statistics, the price of electricity rose by 6.5% between 2021 and 2022, which is alarming all on its own. However, the 12-month period between 2022 and 2023 saw a 14.3% hike in electricity tariffs, which has since put the cost of electricity on a scale that’s far too high to ignore. At this point, it is imperative that small and medium sized enterprises start taking steps to bring down their annual energy expenses.

However, this raises the question about whether that can be done without scaling down the entire business along with it. As it happens, there are indeed ways to bring down small business electrical expenses, even in the face of current price hikes. A closer look at some of them reveals several possible solutions.

Find a Cheaper Rate

Finding a cheaper rate to meet your business’s monthly energy requirements may seem impossible right now, but rest assured that it is not. SMEs across all sectors can still compare prices and find the lowest possible electricity rates to save on energy with Digital Energy by 5. Despite all the hikes, controversies, new polices, inflation, etc., the competition between various commercial electricity providers is just as strong as always. Leverage that competition to get the best rate you find can for your business.

Install a Photovoltaic Array

Provided that you do business in a US state that receives its fair share of sunshine, strategic PV array placements can help you to take the majority of the business’s energy requirements off the grid. The fact that it is possible to store solar energy in batteries for later usage now has been a true gamechanger. In case you have not researched PV cells and how far they have come in recent years, chances are that the results will surprise you. Not only is the new generation of solar cells significantly more energy efficient than before, but they are also cheaper.

Improve Energy Efficiency of Commercial Equipment

How much electrical energy any given piece of commercial equipment consumes to provide the required energy output is a critical denominator in business. The less electricity a machine consumes to provide the desired output, the higher its energy efficiency. All modern industrial machines released in the last three to five years are significantly more energy efficient than anything released before that.

If you have anything too old running in the product lines, consider exchanging it for something more energy efficient. Even though the initial price can be heavy, the number of units saved per day will soon add up and the machine will pay for itself sooner than you might think. For example, semi-automated hydraulic presses have become incredibly energy efficient in recent years, even when compared to older models from the mid-2010s.

On top of everything, note that there are now considerable additional tax credits available for SMEs taking the green route. Depending on how energy efficient your business operations are, the government is offering some significant tax rebates right now.