Important facts about large business electricity in Australia
If you own a business in Australia, one of the obligations that you should not overlook is paying your energy bills. In a report by the Australian Bureau of Statistics, Australian businesses consume around 154,439 gigawatt-hours per year at a cost of around $20.2 billion. These numbers are affected by a range of factors including business size, the number of employees, hours of operation, energy demands, location, and the types of appliances or equipment used.
While energy is essential to keep your business going, it also matters to understand how much electricity your business actually uses. This article will give you a proper understanding of large business electricity in Australia so that you can keep your costs low and do your part in preserving the environment.
Understanding your business electricity usage
Your business electricity consumption
One of the things that you need to understand is how your electricity consumption is measured. In Australia, this is charged in terms of cents for every kilowatt-hour (kWh) of consumption. Your electricity consumption will be affected by the type of equipment you use and how many hours it runs per day. This is a basic reference ,but electricity providers in Australia may charge higher or lower. There will also be differences for consumers who are on a certain type of plan under their electricity provider.
Your business electricity bill
Once you understand your electricity consumption and charges, it’s time to take a closer look at your electricity bill.
Your energy bill basically shows the electricity consumption of your business for a certain period. It is measured in kWh. Depending on the energy plan you’re on, your energy bill may show your consumption classified under peak, off-peak, and shoulder rates.
To explain the differences between the three, peak rates are generally more expensive and charged when you consume electricity during busy hours or periods when electricity use is highest in your location.
On the other hand, off-peak rates generally have lower rates and are charged when your business is using less electricity during off-peak periods such as nights and weekends.
Shoulder rates refer to the amount charged when electricity consumption falls in between the peak and off-peak periods.
Your business electricity consumption as compared to others
As mentioned earlier, there are several factors that affect your electricity bill charges. These include your business size, business type, and area of operation. To give you an overview, small businesses approximately consume up to 30,000 kWh per annum, medium businesses consume a range of 150,000 kWh to 1,000,000 kWh per annum, and large businesses consume up to 7,500,000 kWh per annum on average.
How to reduce your business electricity consumption
1. Conduct energy efficiency assessments
Conducting an energy assessment will give you an overview of how your business is using electricity so that you can understand the total energy consumption of your company. This will also help you identify opportunities to reduce your energy usage in certain areas of operation. An energy assessment can be done in-house or with the help of an external third-party.
2. Consider renewable energy sources
The use of solar energy is encouraged in Australia. On average, Australia receives 58 million PJ of solar radiation annually. If you will use this as an alternative source of energy, you will not just be able to take advantage of clean and emission-free energy sources, but also the cash incentives and tax breaks that come with it.
3. Manage your energy use
Replace the equipment you use in your business with electricity-saving devices. Smart technology offers several options to help you reduce your electricity consumption. It is also important to ensure that your employees are aware of your energy-saving efforts so that they will be conscious too when using business equipment or appliances.
It could be very costly to run a business and in case you find yourself spending a lot on energy use, take the initiatives that will help you control your energy consumption and pay less on utilities.
Another option is to find electricity providers in Australia that match your business energy requirements. Know the deals offered by various providers, compare and make the switch! Use an energy comparison tool that is free to use and can deliver results in just a few steps.
Electricity Wizard offers an online energy comparison tool that has been used by more than 1 million Australians in finding superior energy deals and electricity providers. Find out more about how you can save on energy costs by visiting our website.