June 9, 2022

How Much Do Hotels Spend on Electricity?

Hotels use a significant amount of electricity and gas to ensure their guests are warm and comfortable. These facilities require energy every hour for constant heating, lighting, and providing hot water to guest rooms, which can push the cost of electricity pretty high. However, it is not just the rooms and hot water that take the energy.

Brice Degeyter
Brice Degeyter
Bizsu founder
Singapore's Marina Bay Sands at night

Most hotels have on-site spas, pools, restaurants, and more that require energy to run optimally. With this in mind, one of the big questions for managers, entrepreneurs, investors, and sustainability planners is how much electricity does a hotel use? 

Sustainability and Electricity Use in Hotels

The concept of sustainability has become so important today because it is considered the ultimate solution to addressing challenges facing the planet, especially global warming. For hotel management, understanding the electricity used for lighting, heating water, and air conditioning, among others, can offer a good opportunity to contribute to global sustainability efforts. Do not be left behind as others join this noble course for global sustainability. 

Another benefit of focusing on sustainability is that you can cut down the expenditure on electricity. As we are going to see later, shifting to energy-saving lamps can cut down lighting-related expenditure by 75%. Why pay more for electricity when there is a more energy-efficient alternative? 

Cutting down on electricity spending can be an important component of your ESG sustainability reporting model. The efforts will not go unrewarded because more customers now prefer products and services from brands that are committed to the environment. To make cutting down electricity spending part of your strategy, first, it is crucial to determine how much your hotel uses.

How Much Electricity Do Hotels Use? 

On average, hotels spend 6% of the operating costs on electricity bills. So, let’s break this down by looking at some of the main facilities in hotels and the electricity they spend. 

Average Electricity Use per Room in a Hotel

To demonstrate the numbers, we will consider a standard hotel room of 91 square meters (Travelodge). Assuming that each square meter of a hotel room consumes about 0.55 kWh every day (on the lower end), it implies that the average spending will be 50 kWh per day. 

Now, let's take the calculation to the next level. For a hotel with 50-150 rooms, we can accurately say that the average daily spending on electricity would be between 2,500 kWh and 7,500 kWh. So, how much does this equate? 

Let’s take the price of electricity to be 16.84p per kWh (the rate in the UK). This implies that the cost of electricity would be between £421 (US$540) – £1263 (US$1621.6) every day. 

Average Electricity Spending on a Gym?

For hotels that have on-site gyms, the spending on electricity is likely to be a little higher than those without. In a standard gym, you get things like air conditioning, lighting, electric bikes, television, and treadmills. Here, we must say that it might be challenging to pinpoint the exact electricity spending because it all depends on the number of hours the gym is used, users per session, and the machines. However, we will estimate the spending per machine so that it is easy to add up the total depending on the users. 

  • Treadmill: This machine uses about 1.5 kWh of electricity every hour that it is running. Therefore, your hotel will spend about 7.5 kWh of electricity for every five hours that the treadmill is left running. 
  • Air conditioning in the gym: This is one of the main electricity consumers in a hotel, and, specifically, the gym. In order to keep a gym cool and nice, standard air conditioning will take about 3kWh per hour. So, if the HVAC was to be left running for about 10 hours, it would gallop about 30kWh. 
  • Lighting: Here, we are going to assume that your hotel has installed the energy-saving LED panels because they take less in terms of space and energy. However, they will still contribute to the total electricity usage. Each panel uses about 0.25kWh when left for about 10 hours. So, if the gym has about 15 panels, lighting it for about 10 hours per day means using 3.75 kWh. If the gym is fitted with fluorescent panels, the electricity use per day will be way higher. 

When you factor in all the above, a gym with about 10 machines could use about 109 kWh of electricity each day. If the gym is larger, with more machines and lamps, the bill will be way higher.  

The two facilities are only samples of the amenities that take the bulk of electricity in a hotel. Other additions that you need to include when calculating electricity use are in the restaurant, corridors, heated pools, reception, lift, and facilities in the kitchen. 

How to Reduce Your Hotel’s Electricity Bills 

Now that we have demonstrated the electricity that is used by most hotels, the biggest question is, “how do you keep it down?” Many times managers and hotel owners find it challenging as most of the common areas need to be ready for guests all the time, meaning that facilities such as lighting and HVAC have to remain fully operational even when unoccupied for up to 70%. The good thing is that there are some things that you can do to cut the bills down. Here are some useful tips to consider: 

Upgrade the Lighting System

This is one of the easiest methods for saving energy and cutting down electricity bills. The upgrade that will help you to cut down the electricity bill by a bigger percentage is shifting from incandescent and fluorescent lamps to LED lamps. LED lamps use 70% less energy compared to incandescent bulbs. Here are other steps that you should consider t to save on electricity: 

  • Retrofit hotel sections with more burn times: When you focus on areas where lights are on all the time by installing LED lamps, the returns on investment will be impressive. The lamps will also keep the cost of maintenance low because they last up to 25 times longer than standard incandescent lamps.
  • Put more focus on critical areas: Although the focus is on cutting down the electricity bill for the hotel, it is important to be extra careful, especially on matters of security. So, make sure that only lamps in critical areas, especially where lighting can send a signal that safety is not a priority, are kept on all the time. Areas that require full-time lighting include the parking lot and corridors. 

Update Your Hotel’s HVAC System and Adopt Predictive Maintenance

HVAC systems that are used in hotels perform a crucial role when it comes to personalization and comfort. For example, one guest in a specific room might want to enjoy a cool afternoon at 19 degrees Celsius while another in the next wants a tropical kind of environment, about 26 degrees Celsius. An updated HVAC system allows each client to tune to the preferred temperature levels without overworking. Again, an updated system makes it possible to automatically switch off the air conditioning in rooms that are not occupied to cut down electricity bills. 

For hotels that do not want to completely shut off the HVAC system, occupancy sensors can come in handy to turn on the energy-efficient mode when not occupied. Again, consider installing smart power outlets to reduce vampire energy draw. 

Utilize Continewm Nets for Air Conditioning Units 

Many times, air conditioning contributes to more than 50% of the total electricity consumption. Continewm is a very practical solution targeted to reduce energy consumption, and lower electricity bills by 25% on average. Its patented natural material improves the heat exchange process within the AC unit and is one of the most efficient systems available on the market today. It fits any type of AC unit and takes only 2 minutes to install, guaranteed to last a lifetime. 

Add Water Saving Features to Ever Bathroom 

As a hotel owner or manager, you probably know that wasting water is like flushing cash down the drain. However, there are a number of bathroom upgrades that you can use to cut down water use and electricity. 

One of the most preferred options is using specialized shower heads and sink faucets in prime areas. For example, a low-flow faucet and showerhead help to cut down the water every guest uses. This means that the pump and water heater on the showerhead will not require a lot of power to work. One can also consider various other options that can be added to existing taps and faucets including flow reduction washers or isolating ball valves that help reduce the flow of water. 

You should consider adding water-efficient sinks and toilets so that they can automatically turn off the taps when they are left running. The lovely thing about these features for hotel bathrooms is that they are outstanding sustainability tips and can be implemented pretty fast. 

Train Your Hotel Staff on Energy Efficiency 

One thing we must insist on about cutting electricity bills for hotels and offices is that it is a process as opposed to a one-point solution. When crafting the content of the sustainable practice, it is paramount to include staff training on energy matters. So, how does training staff training help to cut the bill?

When you install new appliances and systems, employees have to be trained on using them for optimal results. By equipping staff with skills in energy conservation, they will be able to promptly identify and abate wasteful acts. For example, training staff on how to reset thermostats after cleaning guest rooms might come in handy in pulling down the electricity bill. 

To gain a better understanding of the bigger picture in terms of energy conservation and efficiency, The Climate Fresk is an effective tool to engage your team. The activities in this IPCC-based workshop allow for employees to engage with climate change solutions and understand the causes and effects of climate change within just three hours. 

Running a successful hotel is a big job, and understanding the energy use and adopting a sustainable practice for reducing the electricity bill can help you improve efficiency and lower the cost of operations. By putting more focus on sustainability and caring for the planet, it is possible to increase revenue, strengthen the brand of your hotel, and take the business to the next level. Remember to regularly evaluate the strategy employed for cutting down electricity to ensure it is achieving the set objective.