Explain My Commercial Electricity Bill

How Much Does Your Commercial Business Spend on Electricity Bills?

Revel Energy is here to help you read and explain the details within your businesses commercial electricity bill. Take a step towards controlling California’s rising commercial energy costs by understanding how your electricity provider charges you for the energy your business needs.

If your California business has noticed a significant increase to your electricity prices, this guide can help you understand where those increased costs are coming from.

A kilowatt (kW) is a measurement that defines the intensity of the electricity being used. 

Kilowatt hours (kWh) are the result of Intensity multiplied by time, just think of this as a unit of energy.

For example, if you use ten 100-watt-intensity light bulbs for an hour, you would be charged for one kilowatt hour unit.

What is the difference between Kilowatt (intensity) and Kilowatt hour (unit of energy)
Commercial Time of Use Rates - Explain my Bill

Time-Of-Use Rate Plans

Utilities don’t stop at just calculating your usage, most businesses are on time-of-use rate plans which determine the rate for each unit of energy used, by the time of day you use it. 

Utilities use time of use to shift their customers’ operations to times with less overall demand on the grid like mornings and weekends. 

Businesses struggle to keep in tune with ever changing time of use plans ultimately cause significantly higher electricity costs. Understanding this element is critical to read and understand a commercial electricity bill.

Demand Charges

Demand charges are sneaky charges for electricity you technically do not use and depending on your energy profile, demand charges could make up over 50% of your bill! 

As your utility provider monitors your energy usage, when you have short term spikes of intensity, even if for only a few minutes, they notice. 

For the duration of that pay period, you will pay a portion of your bill based off that boosted rate. It doesn’t matter whether you use the electricity or not.

The utility company says, “if even for a minute your business displays a need for energy at such high-intensity again, we need to have those units stored on the grid ready for you, even when there’s a very high chance you won’t use it.”

Time of use Rates and Demand Charges

Controlling Cost With Commercial Solar

Solar is uniquely suited to help demand on the grid, as events of high demand are typically when businesses are operating and the sun is shining, utilities access overproduction from existing solar systems. Utilities reward owners of solar systems that contribute during these events with credits at the value that the energy was produced.

This is called Net Energy Metering and these credits cover significant energy costs accrued when that solar system isn’t generating energy. Conveniently for utilities, solar systems across the grid help alleviate energy costs for everyone by offsetting this demand. However, changes are coming for this important program, learn more here: Net Energy Metering Explained.

Businesses benefit from understanding these costs and offsets, reading a commercial electricity bill is crucial to managing the cost of doing business in California where future energy costs look to continue their rising trend.

California businesses have options for lowering their electricity bills, the most effective and widely accepted is commercial solar, sometimes paired with energy storage if applicable. Solar developers like Revel Energy offset their customers’ energy usage by an average of 60-80% depending on the project profile (typically usage versus square footage of roof space).

Click the link below that resembles your monthly electricity costs below for a table to show how your costs could increase.


Below are some examples of California businesses that lower their electricity bills with commercial solar.

Revel Energy's 2021 Notable Projects List

Completed Projects

K&M Visser Dairy - Pixley, CA

Long Life Farms - Thermal, CA

Over moment - Hokto Kinoko Commercial Solar - San Marcos, San Diego, CA

Hokto Kinoko - San Marcos, CA

Project Location:
San Marcos, CA

System Capacity:
1.065 MW

System Size:
2,960 Solar PV Modules

Annual Power Cons. (before):
2,710,000 kWh

Est. Power Savings (after):
60% Energy Savings

Grower and producer of mushroom superfoods in California, Hokto Kinoko utilizes a Revel Energy commercial solar and energy storage installation to reduce energy costs by approximately 60%. One of many California businesses lowering energy costs and raising net income.

View full case study page

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Commercial grade rooftop solar is ideal for: manufacturing, warehousing, logistics, industrial, retail, hospitality buildings and more with over 10,000 sq. ft. rooftops.

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Free standing carport solar generates added solar power for properties with limited rooftop space. Added benefits include shading and protection for employees vehicles.

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Crucial for reducing peak demand charges. Automated to supply electricity when your panels won’t. Energy storage is ideal for businesses that incur significant peak charges.

As the popularity of electric vehicles increase, so does the demand for on-site charging. This sustainable amenity has become a parking lot fixture for competitive employers.



CSLB #1106092


See how these businesses saved on electricity, gained valuable tax credits and rebates with commercial solar and energy storage.

Client Testimonial: Kelemen Company

Corporate Business Park in Irvine, CA has created significant electricity cost savings through commercial solar installed across the 5-building business park.

Client Testimonial: Tice Gardner & Fujimoto LLP

See how this CPA firm saved on electricity and gained valuable tax credits through commercial solar that they used to keep cash in the businesses.






– CSLB #1106092

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Revel Energy | Commercial Solar Energy Solutions