Cost effective warehouse energy management
Effective warehouse energy management is often an underestimated money saving tool in any senior warehouse managers’ itinerary.
Here at Exchange Utility, it is our mission to bring the importance of cost and environment saving measures to light in order to promote sustainable business practices and save business owners money.
Tackling warehouse energy management
Energy bills are typically responsible for a substantial 15% of all operating costs within a warehouse facility. In order to take control of these costs and begin work on reducing them warehouse facility managers and business owners need to understand the energy consumption distribution of their premises.
In the diagram on the right is illustrated the typical energy usage of a warehouse.
What can I do to achieve better warehouse energy management
First and foremost, it is important to understand that your warehouse could be on the completely wrong tariff type to suite your hours of operation.
There are a lot of different tariff options that have been created to cater to buildings such as warehouses and their unconventional opening times. However, as suppliers can earn more from keeping this little secret to themselves, they are often overlooked by the buyer.
For example, if your warehouse is fully operational 24/7, you could benefit from a tariff that offers lower prices for energy that is used at night as opposed to a conventional tariff – such as an Economy 7 tariff.
“According to Bloomberg, because of the growing use of renewable energy sources, power prices in the UK are set to fall below zero during off-peak hours before the end of the decade.”
The unfortunate thing is, even if your business is benefitting from a tariff such as this, you could still be overpaying your energy suppliers. So what can you do to ensure that your business energy contracts are the best they can be?
Exchange Utility is an energy management consultancy. Our experts are highly trained in identifying the best possible energy management progression routes for businesses such as yours. We can review your current energy tariffs in order to secure contracts that are more suited to yours needs, at a better price.
Speak to a business energy expert today by calling 0800 9777 000 or grab a recently bill and start an online energy comparison
After speaking to a representative and securing a better business energy deal, you will never have to worry about going out of contract or enduring a badly priced contract again. We will be on hand to answer any further questions that you may have and remind you about when you need to take action regarding your contracts. So all that’s left for you to do is concentrate on running your business.
Consumption reduction and warehouse energy management
Alongside inspecting your current business energy contracts and tariffs, you can continue to make savings by defining consumption reduction measures for your warehouse.
Did you know that approximately 30% of energy used in buildings is used inefficiently or unnecessarily? That equates to a potential 30% cost reduction on your business energy bills from implementing some clever warehouse energy management measures.
Below is a list of warehouse energy management options that are perfect for your warehouse.
Warehouse energy management option 1: Motion sensors
Motion sensors have the potential to cost as little as £20 and save your business as much as 10% on lighting costs as energy is not being used on lighting when it is not necessary.
This is an especially effective measure for warehouse energy management as these types of premises often consist of vast spaces that are not always occupied by a member of staff.
Work it out:
Annual energy bill spend ÷ 10 – Cost of motion sensors = Money saved from motion sensors
Warehouse energy management option 2: HVAC Controls
Being mindful of your heating, ventilation and air conditioning usage is also an effective way to achieve better warehouse energy management. Here’s a couple of facts to show you why…
- Reducing the temperature of your thermostat by just one degree can save approximately £90 for a three bedroom semi, according to the Energy Saving Trust – Imagine the difference that it could make to the costs of heating for a warehouse! The potential savings for this is hundreds of pounds, for a very little temperature alteration.
- Lowering air conditioning by just 1C could reduce your business energy bills by up to 8%.
- By replacing electric heaters with a central heating system, you could reduce the carbon emissions that your business generates from heating by 50% and the running cost by 2/3.
Warehouse energy management option 3: Insulation
Although insulation isn’t responsible for heating your business, it is useful in the way that it slows down heat movement throughout your premises. If it is hot outside, insulation slows down the transfer of heat into your building and if it is cold, it prevents heat from exiting the building.
This reduces the need to spend money on running air conditioning and heating.
It is estimated that ¼ of the heat within your business could be lost through the lack of, or none-existence of insulation in your cavities and roof. Preventing this could save your business more than £135 per year on heating and cooling costs!
Conclusion for better warehouse energy management
Using a combination of clever energy contract procurement and consumption reduction measures can work wonders for your business, as you can continue to make savings year on year if you manage to reduce your usage and prevent your business from rolling onto a standard or higher priced tariffs.
This is money that you are then free to invest back into your business!
So why not get started today with the easiest task on the agenda? Reviewing your business energy contracts.
Get your hands on a recent bill and contact a friendly Exchange Utility Energy Expert to make possible savings of 40% on your business energy contracts.
Call 0800 9777 000
Email a recent bill to email@example.com
Or complete an online enquiry