5 Key Tips for Saving on Warehouse Energy Costs


maryland distribution warehouse

Warehouses use large amounts of energy, whether it be in heating and cooling the large space or running the machinery necessary to move stock around. Chances are that energy costs are your second largest business expense, just behind personnel costs. Here are 5 key tips that can help you save on energy costs in your warehouse:

Install Skylights

The sun is the biggest free power resource, and letting the sunlight in during the day can help dramatically cut down on your need to run overhead lights. Though the initial cost output is greater, especially since you’re cutting into the roof of your building, the total savings over time will make up for the expense. Of course, this is only a feasible option if you own your building.

Turn Off Machines Not in Use

Have you ever been in your warehouse and seen the conveyor belt running with no one using it? Constantly running an unused machine during business hours is a serious waste of energy and money, which eats into your profits and your business’s carbon footprint. Reminding your employees to turn off machines and equipment when they’re not in use can save you significant money over time.

Check Your HVAC System

Commercial HVAC systems can eat up serious power and money. Many of them, especially in warehouses, are aging, which means they aren’t running as efficiently as they could be. Bringing an HVAC professional in to check and clean your system, and make any recommendations for maintenance and repair, can help keep your overall heating and cooling costs low and reduce the likelihood you will experience a major system failure.

Consider Flexible Scheduling

Temperatures inside a warehouse, like any other building, fluctuate based on the time of day. In summer, indoor temperatures are cooler earlier in the morning and later in the afternoon. In winter, it’s warmest mid-day. If your business flow allows, consider creating summer and winter hours that allow your employees to work early and/or late in summer to avoid having to run the air conditioning for long periods of time in the heat of the day. In winter, adjust your hours to take advantage of the warmer daytime hours so your heat use will be lower.

Outsource Your Warehousing

Of course, the best way to save on warehouse energy costs is to outsource your warehousing to a third-party logistics (3PL) company. Because you no longer have to bear the costs of warehousing – less space to heat and cool, fewer breakroom appliances to power, and less machinery to operate – your business’s overall energy consumption costs will go down. The cost of energy consumption is passed on to the 3PL, which then spreads the costs among the fees charged to clients. Because many businesses are participating in paying for energy costs, the amount you as one business owner will pay is lower.

Logistics Solutions for Businesses of All Sizes

At Cannon Hill Logistics, we pride ourselves on finding flexible solutions for all our customers – large and small. We are located near the busy Port of Baltimore, and your product can reach more than half the population of the United States within three business days. Contact us to learn more about our warehousing, shipping, and logistics solutions.