Main Content
ENERGY TIPS

9 Energy Saving Tips for Commercial Buildings

Energy is one of the largest ongoing expenses for most commercial buildings, but even small changes can add up to substantial long-term savings. By fine-tuning equipment schedules, upgrading to more efficient lighting or optimizing HVAC performance, you can lower monthly utility costs, reduce the likelihood of costly repairs and extend the lifespan of your building’s systems.

The tips in this guide focus on practical upgrades and strategies that deliver measurable returns, helping you keep more of your budget focused on running and growing your business.

Key Takeaways

  • Switching to LED lighting is the fastest commercial energy win, using up to 75% less energy and lasting up to 25 times longer than incandescent bulbs, with rebates often available to offset upfront costs.
  • Optimizing HVAC delivers some of the biggest savings since heating and cooling represent the largest share of most buildings' energy use. Replacing dirty filters alone can cut HVAC energy use by up to 15%.
  • Smart thermostats can lower heating and cooling bills by about 8% annually by automatically adjusting temperatures during off-hours, weekends, and low-occupancy periods.
  • Sealing and insulating your building envelope prevents 10–20% of heating and cooling energy waste caused by leaks around windows, doors, walls, and roof penetrations.
  • Smart building automation can reduce HVAC energy use by about 30%, while networked lighting controls with daylight sensors have delivered an average of 47% energy savings across commercial installations.
  • Preventive maintenance pays for itself quickly — low-cost operations and maintenance improvements can cut building energy use by up to 20%, often with payback periods under a year.
  • Occupant behavior matters as much as technology. Employee engagement programs can yield 5–15% additional energy savings through simple habits like shutting down equipment and using natural light.
  • Professional energy audits can identify 10–40% in cost-saving opportunities, and EPB business customers can schedule a free on-site assessment with EPB Energy Experts.
  • Federal, state, and utility incentives can dramatically lower upgrade costs. Section 179D allows deductions up to $5.81 per square foot in 2025, and the Clean Electricity Investment Credit (Section 48E) can cover up to 50% of qualifying renewable energy projects.

Why Commercial Energy Efficiency Matters

If you own a business, you’ve probably noticed by now that small changes in your energy usage can greatly impact your building’s utility costs. Commercial buildings are some of the biggest energy consumers in the United States. They account for about 35% of the country’s total electricity use, with heating, ventilation and air conditioning (HVAC), lighting and office equipment demanding the most energy, according to the U.S. Energy Information Administration (EIA).

Not only do commercial buildings demand a lot of energy — on average, 30% of that energy goes to waste, according to the U.S. Environmental Protection Agency (EPA). That’s why so many businesses are working to improve the energy efficiency of their facilities.

Three people in an office having a discussion at a desk, with one person standing and handing documents to two others seated at computers.

From a business perspective, energy efficiency is one of the most effective ways to reduce overhead costs without sacrificing comfort. Lower energy bills can help you make room in your budget for other priorities. Plus, efficient systems can help keep your building’s temperatures consistent, improve indoor and outdoor air quality and create a more pleasant atmosphere for your employees and tenants. In many cases, these upgrades can also increase property value and tenant retention.

On top of the financial benefits, improving efficiency can help you meet environmental, social and governance (ESG) goals and qualify your building for green certifications like Leadership in Energy and Environmental Design (LEED). And, many organizations are finding that sustainable practices aren’t just good for the planet — they’re also good for your business’s reputation and long-term resilience, especially for the growing number of consumers who prefer brands with values that reflect their own.

In the next section, we’ll show you some of the easiest and most cost-effective ways to make your building more energy efficient.

9 Proven Ways to Boost Commercial Energy Efficiency

Thanks to recent advancements in smart technology and energy efficiency, there are plenty of practical upgrades and habits you can easily implement to make your building more energy-efficient.

1. Upgrade to energy-efficient lighting solutions.1. Upgrade to energy-efficient lighting solutions.

Lighting is one of the easiest and most cost-effective upgrades you can make in a commercial building. LED bulbs use up to 75% less energy and last up to 25 times longer than traditional incandescent lighting.

That means switching to LEDs leads to fewer replacements, lower electricity bills and less maintenance time. Plus, LEDs stay cool to the touch, making them a safer choice. 

Upgrade your building’s lighting and save on energy costs with these tips:

View through the windows of a modern office building at night, showing empty desks, chairs, and workspaces illuminated by interior lights.
  • Switch all of your light bulbs to LEDs. Replace fluorescent, incandescent and halogen bulbs with LEDs to instantly reduce your energy usage.
  • Add smart lighting controls. Use dimmers, timers, automation systems and motion sensors in spaces like conference rooms, restrooms and break rooms so lights only turn on when they’re needed.
  • Leverage natural light when possible. Natural lighting can improve health, focus, alertness, productivity and mood for employees and customers. Allow natural light into your building through windows and skylights. Install light sensors, timers or smart lighting systems that automatically dim or turn off indoor lights when there’s enough sunlight.
  • Check for rebates and incentives. Many utility companies offer financial incentives for switching to LEDs and for adding commercial lighting retrofits, which can help lower upfront costs. Check with your local utility for ways to save.

🧑‍🔧 EPB Energy Pro Tip: EPB Business customers can learn more about rebate opportunities for commercial buildings here.

By making this one switch, you can see immediate savings while creating a brighter, more comfortable space for employees and tenants.

2. Optimize your HVAC settings and equipment. 

In most buildings, heating and cooling account for the largest portion of your energy usage, so keeping your HVAC system serviced and optimized for efficiency can lead to big savings. Routine maintenance and smart controls not only cut energy waste — they also extend the life of your equipment, prevent costly repairs and improve comfort, saving you time and money in the long run.

Here’s how to keep your HVAC system running efficiently:

Aerial view of a large building rooftop with multiple industrial HVAC units, cooling towers, and ventilation systems.
  • Schedule regular, seasonal maintenance. Hire a certified technician to replace air filters every 1–3 months, inspect ductwork for leaks and make sure air vents are unobstructed for proper airflow. Replacing dirty HVAC filters can reduce your system’s energy consumption by up to 15%, helping lower bills and keep airflow moving smoothly.
  • Install programmable or smart thermostats. ENERGY STAR–certified smart thermostats can cut heating and cooling bills by approximately 8% on average. They do this by automatically adjusting temperatures during non-business hours, weekends or periods of low occupancy to avoid unnecessary heating or cooling.
  • Upgrade to high-efficiency equipment. If your system is 10+ years old, consider replacing it with a high-efficiency model (SEER 16+ or ENERGY STAR® certified) to significantly reduce operating costs.
  • Seal and insulate ducts. Duct leakage can be significant in large commercial systems. By sealing leaks in your ductwork, you can prevent conditioned air from escaping and ensure your system isn’t working harder than it needs to.

By optimizing your HVAC settings and investing in efficient equipment, you can improve comfort for occupants while lowering one of your building’s biggest utility expenses.

3. Seal and insulate the “envelope” of your building. 

Your building’s “envelope” is the barrier between indoor and outdoor air. This includes the walls, windows, doors, roof and foundation. If any part of this barrier is leaky or poorly insulated, your HVAC system has to work overtime to maintain comfortable temperatures, which can waste energy and drive up your energy bills.

Follow these steps to seal up your building’s envelope and keep conditioned air where it belongs — inside:

  • Check for drafts and gaps. Inspect windows, doors and wall joints for air leaks. Even small leaks can add up: air leaks can waste 10–20% of your heating and cooling energy.
  • Add weather stripping and caulking. Seal gaps around doors and windows to prevent air from escaping. This simple, low-cost fix can pay for itself in less than a year through energy savings.
Person wearing a hard hat and reflective safety vest, holding a clipboard and pen while inspecting an indoor construction site.
  • Upgrade your insulation. If the insulation in your walls, floor or attic is outdated or insufficient, it may be time to add more. By ensuring your building is properly insulated and sealed, you can cut heating and cooling costs by up to 15%, according to ENERGY STAR.
  • Seal any openings in exterior walls and the roof. Close off openings around pipes, vents and wiring where outside air can sneak in. Pay special attention to areas where pipes, vents, electrical conduits or other utilities enter and exit the building. Use expanding foam sealant, caulk or gaskets to close these gaps, as they can create major energy loss and even allow moisture intrusion.
  • Use high-performance windows and doors. When replacing, choose ENERGY STAR®-rated models with low-emissivity (Low-E) glass, insulated frames and multiple panes. These features reduce heat transfer, improve comfort and can lower annual energy bills.
  • Consider hiring a professional to complete an infrared thermography scan. An infrared camera scan can reveal hidden leaks and gaps that aren’t visible to human eyes. This allows you to pinpoint exactly where energy is escaping so you can target repairs for the biggest impact, ensuring you don’t miss any costly leaks that could keep driving up your utility bills.

By sealing leaks and improving insulation, you’ll keep your indoor environment more comfortable, reduce strain on your HVAC system, prevent costly HVAC repairs and make your energy dollars go further.

4. Use “smart” building technology to automate your efficiency. 

If you’ve ever walked into your building after hours and found the lights blazing or the air conditioner running full blast, you’ve seen wasted energy in action — and watched money slip away. Smart building technology solves this problem by helping you monitor, control and automate your energy use across multiple systems.

From lighting and HVAC to plug loads and security, automation ensures energy isn’t wasted when spaces are empty or conditions change, all while making your building more comfortable and easier to manage.

Here’s how to put smart tech to work in your building:

Two people wearing aprons and working together in a commercial kitchen, preparing trays of food on a stainless steel counter.
  • Install a Building Automation System (BAS). A BAS integrates controls for lighting, HVAC and other equipment into one platform. The U.S. DOE reports that well-implemented BAS systems can reduce HVAC energy use by about 30% in commercial buildings.
  • Use occupancy sensors and motion detectors. Install sensors in conference rooms, restrooms, storage areas and other low-traffic spaces to automatically power down lights and your HVAC system when no one is present.
  • Install natural light–responsive controls. Pair light sensors with dimmable fixtures so indoor lighting adjusts to the amount of daylight in the space. A 2020 study by Lawrence Berkeley National Laboratory found that networked lighting controls, including daylight-responsive features, delivered an average energy savings of 47% across more than 100 commercial installations.
  • Schedule equipment and lighting. Use programmable timers or scheduling software to ensure systems operate only during business hours or as needed. This is especially useful for signage, lobby lighting and exterior security lights.
  • Track and analyze energy data. Use smart meters or submetering to monitor energy usage by floor, department or equipment type. Regular reviews can identify unusual spikes and help you catch issues early.
  • Automate HVAC zoning. Zoning divides your building into multiple areas, each with its own thermostat, so you only need to heat or cool spaces when they’re in use. This targeted approach reduces energy waste, improves comfort, and, combined with data-driven setpoint/schedule adjustments, has shown up to 16% HVAC energy savings in offices, according to a 2023 study published on MDPI.
  • Integrate with remote management tools. Cloud-based controls let you monitor and adjust lighting, HVAC and other systems from anywhere using a computer, tablet or smartphone. This means you can turn off forgotten lights, tweak thermostat settings or troubleshoot equipment without being onsite.

By combining these smart technologies, you create a building that practically manages itself — saving energy, lowering costs and giving you the control to respond to issues before they impact comfort or your bottom line.

5. Maintain equipment and appliances.

In business, every hour of downtime costs money, and so does equipment that’s running inefficiently. Whether it’s your HVAC system, office appliances or kitchen equipment, poorly maintained machines work harder, use more energy and break down sooner. A regular maintenance routine not only prevents costly repairs but also keeps your energy bills in check.

Here’s how to give your equipment the kind of care it needs to work efficiently for as long as possible:

Person wearing a hard hat, safety glasses, and gloves while working on a large mechanical component in an industrial workshop.
  • Create a preventive maintenance schedule. Set up routine inspections for major systems and appliances, such as HVAC units, refrigeration equipment and kitchen or manufacturing machinery. According to the American Council for an Energy-Efficient Economy (ACEEE), implementing low-cost operations and maintenance improvements can reduce a building’s energy use by up to 20%, often with payback periods of less than a year.
  • Replace or repair aging appliances. Older equipment often uses significantly more energy and is more prone to breakdowns. As a general rule, if an appliance is more than 10–15 years old or requires frequent repairs, it’s likely more cost-effective to replace it.

    Upgrading to ENERGY STAR®-certified models can cut energy use up to 30% or more compared to standard models, depending on the product category. Over the lifespan of the appliance, those savings can translate into hundreds or even thousands of dollars in reduced utility costs.
  • Power down idle devices. Turn off monitors, printers and break room electronics at the end of the day. The Lawrence Berkeley National Laboratory estimates that “phantom” or standby power can account for 5–10% of a home’s electricity use, and in offices, managing plug loads and enforcing shutdown policies curbs significant waste.
  • Keep vents and coils clean. Buildup from dust, dirt and debris that accumulates on refrigerator, freezer and HVAC coils forces the equipment to work harder to maintain the right temperature, which drives up energy use and shortens its lifespan.

    For HVAC systems, blocked vents or clogged coils can lead to poor airflow, uneven temperatures, and unnecessary strain on motors and compressors. Regularly vacuuming or brushing coils and ensuring vents are unobstructed helps maintain peak efficiency, extend equipment life, and prevent costly repairs.
  • Train staff on best practices, or create incentives for sustainability. Educating employees or tenants on energy-saving habits ensures your efficiency upgrades deliver their full potential. HYPERLINK "https://www.aceee.org/research-report/b1601"Research from the ACEEE shows that occupant behavior programs can yield 5–15% energy savings in commercial buildings, depending on participation and program design.

Consider holding short training sessions, adding sustainability tips to onboarding materials or creating friendly competitions between teams or departments. Simple habits, like shutting down unused workstations, unplugging chargers or running dishwashers and laundry only with full loads, can add up to substantial savings over time. Incentives such as recognition programs, gift cards or extra break time can help keep participation high and make energy-saving efforts part of your workplace culture.

By staying proactive with maintenance, you’ll keep your equipment running at peak efficiency, avoid expensive downtime and lock in long-term energy savings — all while fostering a workplace culture of sustainability.

6. Set sustainability goals for your building’s occupants — and make it fun!

Even the best technology won’t deliver full savings if the people in your building don’t use it effectively. Employees, tenants and even visitors can have a big influence on your utility bills. The good news? Most people are willing to help — they just need clear guidance and a little motivation.

Here are a few ways you can make sustainability part of your company’s culture:

People sorting and folding clothes into clear plastic bins in a well-lit community space, with shelves of donated items in the background.
  • Share the “why.” Help occupants understand how small actions, like turning off unused equipment or using natural light, add up over time by sharing the results of their energy-saving habits.
  • Post visual reminders. Use signage near light switches, printers and thermostats that encourage employees to practice sustainability. Digital dashboards or intranet pages that track real-time energy usage can also make your savings more visible and motivating.
  • Set building-wide goals, challenges or contests. Organize a friendly competition between departments or floors to see who can save the most energy. Recognize and reward participation to help employees stay engaged and motivated.
  • Provide sustainability training to new employees and department leaders. Include basic energy-saving habits in your onboarding materials for employees or welcome packets.
  • Leverage natural light. Encourage your employees to open blinds during daylight hours instead of relying solely on artificial lighting. Ask your HR or Marketing teams to create infographics that explain the health and environmental benefits of natural light exposure.
  • Use shared “shutdown” checklists or closing time routines. Provide a simple end-of-day checklist for turning off computers, lights, coffee machines and other non-essential equipment.

When everyone in your building feels connected to your sustainability goals, energy efficiency stops being “just another policy” and becomes part of your shared identity. By making these habits fun, visible and rewarding, you not only lower utility costs — you also create a workplace culture that employees, tenants and visitors can be proud to support.

7. Review and adjust your hours of operation.

If your building’s lights, HVAC or equipment are running during low-traffic hours, you’re paying for energy you don’t need. Even small adjustments to schedules can make a noticeable difference on your utility bill, especially in large commercial spaces where systems cover multiple floors or zones.

Follow these tips to trim waste without disrupting your operations:

  • Analyze occupancy patterns. Use security badge data, smart sensors, your Wi-Fi network or even manual observation to understand when spaces and equipment are truly being used. This insight can help you adjust lighting, HVAC and equipment schedules to match actual demand instead of assumed hours.
Neon ‘Open’ sign with business hours displayed below, hanging on a glass door of a shop or restaurant.
  • Adjust HVAC schedules. Program heating and cooling to start just before occupants arrive and shut down shortly after they leave. Keep in mind that modern systems can heat or cool a space faster than older models, so you may not need long warm-up or cool-down periods.
  • Reduce overnight lighting. Keep only essential safety or security lights on after hours. Consider motion-activated lighting for hallways, lobbies or parking areas.
  • Reschedule cleaning and maintenance. Arrange for janitorial services and maintenance during business hours when possible, so lights and HVAC don’t have to run extra hours.
  • Coordinate with tenants or staff. If certain areas are only used occasionally, create flexible schedules for lighting, HVAC and equipment in those spaces.

Fine-tuning your building’s operating hours is a low-cost strategy that delivers immediate savings without sacrificing comfort or safety. By matching system schedules to real occupancy, you cut waste, extend equipment life and reduce costs, all while demonstrating to your employees and tenants that you’re committed to running a smart, efficient, well-managed facility.

8. Hire an expert to conduct a professional energy audit.

If you’re serious about cutting energy costs but aren’t sure where to start, a professional energy audit is like getting a detailed roadmap for savings. An auditor will inspect your building’s systems, pinpoint inefficiencies and recommend upgrades with the best return on investment.

Here’s how an energy audit works and why it’s worth it:

wo people wearing safety helmets reviewing documents while standing in front of a large array of solar panels.
  • Understand your current usage. The auditor will review your utility bills, inspect systems and may use tools like infrared cameras or blower doors to find hidden leaks.
  • Get a prioritized action plan. You’ll receive a list of recommended upgrades — from no-cost changes (like adjusting thermostats) to high-impact investments (like HVAC replacements or insulation upgrades).
  • Access incentives. Many utility providers offer free or discounted energy audits for commercial customers, and some even help cover the cost of recommended upgrades through rebates or grants.
  • Measure your progress. Schedule follow-up audits every few years to track improvements and spot new opportunities.

🧑‍🔧 EPB Energy Pro Tip: If you’re a local business owner and EPB customer, our Energy Experts can perform a FREE on-site energy assessment to help you find ways to save energy. We’ll evaluate your building’s equipment, lighting and operations to pinpoint efficiency upgrades that can reduce costs and improve performance. You’ll also receive a detailed report with customized recommendations, plus guidance on available rebates, incentives and ROI. Learn more or schedule a free consultation.

By investing a small amount of time in a professional energy audit, you unlock data-driven insights that can translate into significant savings year after year.

9. Leverage government and utility incentives.

Upgrading to energy-efficient systems doesn’t have to drain your budget. Federal, state and local programs, plus incentives from utility companies, can help offset the cost of lighting retrofits, HVAC replacements, insulation upgrades and even renewable energy installations. The key is researching what’s available before you start your project.

Here’s how to make the most of these opportunities:

  • Check federal tax credits. Under the Inflation Reduction Act of 2022 and other programs, commercial buildings can qualify for tax deductions or credits for efficiency upgrades.

    For example, Section 179D of the IRS tax code allows eligible businesses to deduct up to $5.81 per square foot in 2025 for qualifying energy-efficient improvements that meet prevailing wage and apprenticeship requirements. The base deduction ranges from $0.58 to $1.16 per square foot, depending on the level of energy savings achieved.
Aerial view of an industrial facility with cooling towers and smokestacks next to a large solar panel field, surrounded by forested hills.
  • Explore state and local programs. Many states offer grants, rebates or low-interest financing for efficiency projects. The Database of State Incentives for Renewables & Efficiency (DSIRE) is a free, government-backed tool that lists available programs by location.
  • Ask your utility provider. Utilities often provide rebates for high-efficiency lighting, HVAC systems, smart controls, and weatherization projects. Some will even send a representative to help with paperwork. (EPB Business customers can learn about available rebates here).
  • Look for renewable energy incentives. For instance, if you’re considering solar, wind, geothermal or energy storage, the Clean Electricity Investment Credit (Section 48E) can help you save 6% of your project cost, or up to 30% if it meets prevailing wage and apprenticeship requirements. 10 percentage point boosts are available for projects that use domestic content or are located in energy communities, potentially unlocking up to 50% in total credits.
  • Apply before starting work. Many incentive programs require approval before installation, so check requirements early to avoid missing out.

🧑‍🔧 EPB Energy Pro Tip: Keep copies of your invoices, spec sheets and certifications for all qualifying equipment. This documentation is often required to claim incentives.

Taking the time to research and apply for incentives can turn major efficiency upgrades from a long-term goal into an immediate opportunity. By stacking federal, state, local and utility programs, you can significantly lower upfront costs, improve your ROI and free up budget for other priorities. With limited funding available and deadlines that can change year to year, take action as soon as possible to maximize your savings.

FAQs About Commercial Energy Efficiency

If you’re new to commercial energy efficiency, it’s natural to have questions about what works, how much you can save and whether upgrades are worth the investment. To help you make informed decisions, we’ve gathered answers to some of the most common questions business owners ask about saving energy, from quick, low-cost wins to larger projects that can transform your building’s performance.

Person seated in a conference room raising their hand to participate, with other attendees listening nearby.

Q. How much can I save by improving energy efficiency in my commercial building?

Savings vary depending on your building’s size, age, and current systems, but many businesses reduce energy costs by 10–30% or more through basic efficiency improvements such as lighting retrofits, HVAC optimization and better insulation.

Larger projects or comprehensive upgrades may deliver even greater returns, especially when paired with available incentives.

Q. What’s the most cost-effective energy-saving upgrade?

For most commercial buildings, LED lighting upgrades and smart thermostats provide the quickest returns. LEDs use up to 75% less energy and last up to 25 times longer than incandescent lighting, while smart thermostats can cut HVAC costs by about 8% annually.

Q. Do I need a professional to make my building more energy-efficient?

Not always. Some upgrades, like switching to LEDs or sealing obvious air leaks, can be done in-house. However, a professional energy audit can uncover hidden inefficiencies and high-ROI opportunities you might miss. Businesses can often reduce costs significantly with audit-recommended improvements. (Schedule a free energy checkup for your business with EPB’s Energy Experts here).

Q. Can older commercial buildings still be energy-efficient?

Absolutely. In fact, older buildings often have the most to gain from updates. Improvements like adding insulation, upgrading to ENERGY STAR®-rated HVAC systems, installing smart lighting controls, and sealing leaks can dramatically lower operating costs. According to ENERGY STAR, benchmarking older buildings and making targeted upgrades can cut energy use by up to 30%.

Q. Are energy-efficient upgrades worth it for leased commercial spaces?

Yes — efficiency upgrades benefit both tenants and property owners. Tenants can enjoy lower utility bills, while owners may see increased tenant satisfaction, higher retention, and improved property value. For example, the EPA’s Green Lease Leaders program promotes lease structures that align efficiency investments with shared benefits. Even small upgrades like LED lighting or smart power strips can produce measurable savings in leased spaces.

Whether you operate a brand-new facility or an older building in need of updates, there are energy-saving opportunities at every scale. By taking the time to understand your options and tapping into expert advice, incentives and proven upgrades, you can lower your operating costs, reduce environmental impact and create a more comfortable space for everyone who uses your building.

Reinforcing Smart Energy Practices

Improving your building’s energy efficiency isn’t just about cutting costs — it’s an investment in your business’s long-term success, sustainability, and reputation. The strategies in this guide, from upgrading lighting to leveraging smart technology and involving your occupants, can make a meaningful difference in your utility bills and environmental impact.

Small changes, applied consistently, add up. Swapping out old bulbs for LEDs, adjusting HVAC schedules, sealing air leaks or training staff on efficiency habits may seem simple, but over time, these efforts compound into significant savings.

Group of people sitting around a table in a casual workspace, with two individuals in the center giving a fist bump. Laptops, notebooks, coffee cups, and small potted plants are on the table, suggesting a collaborative meeting.

The best way to get started is to assess where you are today. Audit your current energy use, identify quick wins and then map out larger improvements based on budget and ROI.

And remember: you don’t have to do it alone. EPB’s Energy Experts offer free, on-site energy assessments for business customers. We’ll evaluate your systems, find inefficiencies and recommend cost-effective upgrades. Plus, we’ll connect you with rebates and incentives that can make projects even more affordable. Learn more or schedule your free checkup.

Did you enjoy this article?
49 article likes
YES!
LOADING