NSW Climate and Energy Action

Energy saving tips for small businesses

A person loading laundry into a washing machine
 

Start saving energy at your business today

Many of these simple, practical tips are suitable for tenants as well as building owners.

1. Easy, low-cost tips

Start saving money and energy with these quick, low-cost actions.

Get the best deal on your energy plan

Compare your energy plan with others and see if you could be getting a better deal with Energy Made Easy. Switching to a better plan could save you over $1,000 a year.

Track your energy use

It’s much easier to reduce your costs when you know how you’re using energy. There’s a few ways you can measure your energy use:

  • Install a smart meter to measure when and how you use power. Everyone will be getting a smart meter by 2030 as part of the national smart meter rollout.
  • Book an energy audit with a local provider who’ll give expert advice on energy saving for your business.
  • Get a NABERS assessment for your non-residential building. If you’re a tenant, speak to your agent or building manager.

Be more efficient in how you use energy

Small actions add up to big savings.  

Train your team members to reduce energy costs with the following habits:

  • Switch off lights, computers, coffee machines and air conditioning when not in use and turn them off at the wall.
  • Clean any fridge door seals to improve efficiency.
  • Set your thermostat to 23-26 degrees in summer and 18-21 degrees in winter. Did you know adjusting your heater or air conditioner by just 1 degree can cut your heating or cooling costs by 10%.
  • Put your air conditioner on a timer or use the automatic switch-off setting at a certain temperature.
Butcher behind the counter, Leichhardt

2. Simple upgrades

Boost your energy savings by choosing simple upgrades when you replace or upgrade appliances or technology.

Replace your lights

Swap any halogen light bulbs for LEDs, which use 75% less energy and last up to 10 times longer.

Upgrade your appliances

Upgrade to efficient options when replacing appliances like fridges, freezers or dishwashers. Look for a high star rating through the Energy Rating Label and check running costs with the Energy Rating Calculator.

Upgrade your water system 

Your hot water system often contributes more to your energy bill than you’d think. To cut your water heating bill, you can:

  • Install water-efficient tap fixtures.
  • Switch to a new energy-efficient solar or heat pump hot water system. You may be eligible for an incentive under the Energy Savings Scheme to do this.
  • If your hot water is centralised, speak to your building manager about replacing it with an efficient heat pump system.

Upgrade your heating and cooling system

Heating and cooling business spaces can be very energy intensive. If your air conditioning system reaches its end of life, look at options to replace it with an energy efficient alternative.

If you’re a tenant, arrange a meeting with your building manager to discuss efficient alternatives.

A small business owner making coffee on a machine

3. Longer-term business investments

Make bigger upgrades that deliver long term savings and increase the sustainability of your business.

Review your building efficiency

Improve the efficiency and sustainability of your building to boost your NABERS rating. This can result in long-term savings and make your business more comfortable for your team.

You can also look at moving to a more efficient office with higher environmental standards.

Install a solar and battery system

Generate and store your own energy through solar and add a battery to cut costs for years to come.

Find out more about the benefits of solar and battery for your small business.

Rooftop solar panels
LG solar battery in Kiama Downs

Upgrade your company vehicles

If you use company vehicles, upgrading to an electric vehicle (EV) or fleet could save you thousands. For vehicles held and used since 1 July 2022, employers do not pay fringe benefits tax on eligible EVs and associated expenses.

You can make charging easy by installing charging infrastructure at your workplace.

You could also save on fuel costs by choosing a more efficient, lower emissions vehicle using the Vehicle Emissions Star Rating system.

Find out more about the benefits of EVs.

Financial support

All households and small businesses are eligible for up to $150 to help with the cost of their electricity bills in the 2025-26 financial year.

If you’re a small or medium-sized business with energy usage of less than 100MWh per year, you may be eligible for our energy-saving upgrade incentives for households.

Find out more about the Energy Savings Scheme and upgrading business air conditioning and hot water systems.

Energy efficient cafe illustration

Find out how Priya and Dev are saving in their cafe

When Priya and Dev bought their Newcastle café, they wanted to cut energy costs and lower emissions.

Their first step was simple. Priya checked if they were paying a competitive rate for their energy using Energy Made Easy and found a cheaper deal.  

Dev organised an energy audit. The provider advised them the café had an aging air conditioner and hot water system, and the lighting was inefficient, but the induction cooktop was excellent for efficiency.

Priya and Dev made these changes after the audit:

  • Had an electrician switch all the lighting to LEDs.
  • Got a financial support through the Energy Savings Scheme to install a new efficient reverse-cycle air conditioner.
  • Replaced their gas hot water system with a hot water heat pump.
  • Disconnected gas supply completely.

Now their café runs cleaner and smarter and they’re saving $2,860 a year.

What Priya and Dev saved

Based on NSW Department of Climate Change, Energy, Environment and Water analysis, 2024.

Energy bill illustrated icon
$1,030

per year by switching to the most competitive retail electricity plan.

Gas disconnection illustrated icon
$285

in annual gas supply charges by having an all-electric cafe.

Air conditioner illustrated icon
$740

per year with efficient air conditioning.

LED lights illustrated icon
$250

per year with LED lighting.

Hot water heater illustrated icon
$555

per year with an electric hot water heat pump.


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