Sustainability isn’t always just about the environment; it can also be about making good business decisions. Everyone likes to save money and by being strategic about your energy costs you can make instant improvements to your businesses bottom line. Add to that the availability of financial incentives through BC Hydro and you could create significant savings for your business.
Getting Strategic About Energy Costs
Check out this list of 6 ways to get strategic about energy efficiency and improve your bottom line:
1. Reduce the impact of rate increases
Don’t treat your energy bill as a fixed cost. By monitoring what energy you use and making the changes needed to reduce your bill, you will protect your business against any future rate increases.
“We may not know what future rates will be, but we can be certain they will rise over time,” says Daren Sanders, senior manager in BC Hydro’s Finance group. “So a company that controls its use of energy mitigates the impact of future increases.”
2. Low-risk investment
“Investing in energy efficiency is a very low-risk investment,” says Sanders. “With simple math you can determine the energy saving advantage of a more efficient piece of equipment over another. That’s a solid number; you don’t have to consider whether things like sales volumes or exchange rates will affect your return.”
3. Create more freedom for your cashflow
Lessening the strain on cashflow by decreasing your energy costs will only benefit your business. Sanders comments: “Controlling you business operating costs is always good. Creating a wider profit margin for your business will help during the seasonal changes to your business and provides you with the flexibility to drop prices to stay competitive, or afford unforeseen costs that may arise.”
4. Incentives can reduce the cost of replacing key equipment
Replacing equipment for your business can be a costly affair, however by investing more in an energy efficient product , the amount you spend will soon pay itself back.
Before making your equipment purchases, check eligibility for PowerSmart incentives to cover some of the upgrade cost.
Technologies are excelling every year to make products more energy efficient. When looking for new products, check to see if it is qualified as ENERGY STAR. This will help you quickly and easily identify equipment that has been designed to save energy.
5. Reduces maintenance time and cost
Many of the energy saving technologies have been designed to last longer than traditional products, like energy saving light bulbs. Using these longer lasting products will reduce your maintenance costs and recurring purchase costs, as well as the time it takes to look after these types of products.
6. Demonstrating your social awareness
In addition to direct financial benefits, energy efficiency projects, such as lighting or energy audits, can be leveraged to address other issues. The projects can:
- Be used to attract a new market that is focused on green and sustainable businesses.
- Improve employee relations, either by improving the working environment or by demonstrating your dedication to helping the environment.
- Create media awareness to your business, through identifying it with standing out from a crowd.
Not Convinced?
A laundromat in Quesnel is now saving over $700 a year in energy savings by upgrading their old lighting to slim, bright and energy efficient lighting. And not only did they reap the financial rewards, but their staff feel more motivated as their workplace feels brighter cleaner and bigger.
A restaurant in Prince George also realised savings of $660 a year from purchasing a new energy efficient dishwasher with BC Hydro’s Power Smart Incentives Program. They have been so impressed with these savings they are now replacing all their lighting with financial help form BC Hydro to save even more on their energy bills.
Ready to Start Saving?
BC Hydro’s Product Incentive Program (PIP) offers rebates for small and medium sized businesses to replace old inefficient technologies with new energy efficient products.
To learn more visit www.bchydro.com/incentives or call 604 522 4713 (Lower Mainland) or 1 866 522 4713 (elsewhere in B.C).
Here to Help
No matter what stage of business, or what problem you face, Small Business BC offers a range of seminars and one-on-one advisory sessions to suit any business.