Save Big on Power: What to Know About Commercial Electricity Deals

Want to cut your business power costs? You need to know this one thing — commercial electricity deals. They save money, give control, and help your business grow.

What Are Commercial Electricity Deals?

Commercial electricity deals are power plans for businesses. They’re not the same as home plans. These deals offer better rates if you use lots of electricity. Big stores, factories, and even small shops can use them.

When you sign a power deal, you agree to buy electricity from a company. That company gives you a rate based on how much power you use. You can choose short or long deals.

Unlike homes, businesses use more power. So, they need better prices. That’s why electric companies offer special deals just for businesses. A smart deal can cut your electric bill by 20%, sometimes more.

Why Do Commercial Electricity Rates Matter?

Power bills can be one of your largest costs. The good news? You don’t need to be stuck with high rates.

Let’s say your business uses 50,000 kWh a month. At 15 cents per kWh, that’s $7,500. But if a better deal offers 10 cents, you save $2,500 every month. That’s $30,000 in one year — enough to hire a part-time staff or remodel your store.

In Texas, a metal shop switched providers and saved $18,000 a year. They used comparison tools and looked at contract lengths. They also chose a renewable energy plan. Win-win!

That’s how big the stakes are.

Fixed vs. Variable: Know Your Options

There are two main types of commercial deals:

Fixed-Rate Plans

These deals lock in a price per kWh. Your bill stays the same per unit, no matter if the market price goes up. It’s safe and easy to plan.

• Good for:
• Stable, long-term budgeting
• Avoiding big jumps in price

Downsides:

• You may miss out if prices drop

Variable-Rate Plans

These change with the market. When prices fall, you save. But in hot summers or cold winters, prices rise and so does your bill.

• Good for:
• Short-term use
• Very small businesses with low daily use

Downsides:

• Risky if prices spike

In 2022, some businesses on variable plans saw a 40% hike during summer months.

How to Compare Commercial Electricity Deals

Many sites let you compare offers. But don’t just look at price. Look at the whole plan:

• Read the contract term (Is it 6 months or 2 years?)
• Check if there are early cancellation fees
• Ask if prices go up after the first term
• See if the deal uses green energy

Let’s take two businesses:

Business A gets a deal for 9.5 cents per kWh for 24 months.
Business B picks 8.8 cents per kWh but only for 6 months.
Business A avoids changing plans 3 more times. They also lock in pricing — while B risks rising rates. Over time, A saves more.

Renewable Energy Options in Business Plans

More businesses now want green energy. In 2023, 42% of new commercial sign-ups picked renewable energy plans.

Why go green?

• Helps the planet
• Attracts eco-conscious customers
• Often same or lower price than normal deals

Wind and solar plans can now compete with coal and gas. In fact, one Dallas bakery went 100% wind power and saved $6,000 in one year.

Use These Tools to Shop Smart

Here are easy tools to find deals:

• Energy comparison websites (like ChooseTexasPower or BusinessEnergyAdvisor)
• Electricity brokers (they help small businesses find custom deals)
• Local utility websites
• Government tools (like EnergyStar or state electricity maps)

Also, ask your neighbors. Word of mouth works.

What Mistakes Should You Avoid?

Many businesses jump into deals fast. Don’t do that. Avoid these:

1. Choosing the cheapest rate without checking fees
2. Ignoring the contract length
3. Not tracking your electricity usage
4. Skipping the fine print

A Houston salon picked a low-cost deal. But the plan charged 18% extra if usage went below 5,000 kWh. They lost $1,200 in hidden fees.

Lesson? Know your needs before you sign.

How To Lock in the Best Commercial Deal

Here’s a checklist that makes it easy:

1. Look at your monthly usage for the last 12 months
2. Decide if fixed or variable is better for your business
3. Use comparison sites to shop deals
4. Ask for quotes from 2-3 providers
5. Read the contract, twice if needed
6. Ask about hidden fees and extra charges
7. Compare green and regular plans

Negotiate if you’re a big user. Some providers will lower prices for high-usage businesses.

Recap: Why It All Matters

Getting the right commercial electricity deal means saving money. A lot of it. It also helps you plan better, grow faster, and even help the planet.

If you run a business, don’t wait.

1. Review your current energy bill

2. Compare deals using trusted tools

3. Lock in a plan that fits your needs

Power up your savings today.