Why Are Factories Increasingly Concerned About “Electricity Prices” Rather Than “Electricity Consumption”?

In recent years, a notable shift has been observed among factory owners and energy managers. The conversation has moved from discussing how much electricity is consumed to when it is used and at what price. This change marks a fundamental shift in the approach to energy usage.

1. Rising Electricity Bills Despite Stable Consumption

Many manufacturing enterprises have noticed that despite stable production capacity, no significant increase in equipment, and similar levels of electricity consumption, their electricity bills continue to rise. The issue lies not in the amount of electricity used but in how efficiently it is used, influenced by varying electricity prices during different times of the day.

2. Electricity Cost Becoming an Invisible Killer

Electricity costs are increasingly becoming a core concern alongside traditional cost factors like raw materials, labor, and rent. For instance, using high-cost peak-time electricity over cheaper off-peak hours can significantly inflate annual expenses without impacting output or product quality.

3. Shifting Focus from Quantity to Timing of Use

This shift has led to discussions about optimizing load schedules, adjusting equipment startup times, and considering night shifts or weekends as more cost-effective periods for operation. However, this requires careful consideration due to the continuous nature of many manufacturing processes.

4. Storage Systems: A Solution for Price Management

Energy storage systems are being recognized not just as backup power sources but as tools for managing electricity costs through strategies such as storing cheap off-peak electricity for use during expensive peak times.

5. Addressing Uncertainty Through Smart Energy Solutions

The unpredictability of electricity prices, which vary by region and policy changes, adds another layer of complexity. Implementing smart energy solutions helps mitigate these risks by converting unpredictable electricity prices into manageable energy strategies.

6. Future Trends: Efficiency and Smart Energy Use

As electricity pricing becomes more segmented and market-driven transactions become more common, factories will need to be smarter about when they use electricity. This trend suggests that future competitive advantage will not only come from better equipment and management but also from smarter energy use.

From this perspective, the increased focus on electricity prices represents a necessary evolution towards more refined energy use practices.