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These days, running an auto dealership means juggling more variables than ever—and energy is no longer just a background cost. It’s quickly becoming a strategic lever.
As EV adoption continues to reshape the auto industry, the energy demands at your stores are evolving, too. While the pace of EV sales has shifted, many key milestones—like increasing charging infrastructure, expanding EV lineups, and meeting customer expectations—are still in front of you or right around the corner.
At the same time, electricity prices have become more volatile this year, driven by a changing grid and broader economic forces. Tack on enduring pressure from OEMs and certain state regulators, and one trend becomes clear: proactive energy planning is no longer optional. It’s essential for long-term resilience and profitability.
The New Normal: Energy Pricing in Flux
If your energy bills feel like they’re all over the map lately, you’re not imagining it. Several key factors are contributing to pricing volatility:
Increased use of renewables like solar and wind is good for sustainability but can lead to unpredictable supply during cloudy or windless periods.
Grid congestion, especially in fast-growing population regions, is driving up delivery costs.
Weather-related disruptions and seasonal spikes can lead to sudden cost jumps.
These dynamics vary significantly by region. A dealership in California will face very different utility pricing than one in Texas or New York. Understanding your specific market, and load management solutions that are available, is the first step to managing these swings. Consider that 15 states and the District of Columbia have now established clean lighting policies and/or mandated energy efficiency standards, according to the American Council for an Energy-Efficient Economy (ACEEE).
Decoding the Grid: How Electricity Markets Really Work
Here’s the short version: utilities don’t just set your rates on a whim. They buy power from a market. That power gets delivered to your location, with costs layered on for generation, transmission, and distribution.
Your bill reflects a mix of fixed charges and usage-based rates, which may change throughout the day (think: peak vs. off-peak hours). Depending on your utility, you may also be subject to demand charges—fees based on your highest power usage in a short window of time.
Deciphering your utility bill isn’t easy, but it’s critical. Knowing what drives your costs helps you invest smarter and avoid surprises. If you don’t have someone on staff to do this analysis, bring in an expert. The savings can be substantial!
Smarter Capital Allocation
With EVs entering the mainstream and energy costs moving targets, the question becomes: where should dealerships invest?
Some of the most effective moves include:
Power storage: If your infrastructure plans permit, a battery storage system helps you store cheaper, off-peak energy or solar power for use during expensive hours.
Load-shedding tech: Smart systems can reduce your usage automatically when prices spike.
Portfolio management: The latest tools and service offerings by companies like Future Energy provide a single-pane-of-glass view of your energy status, and real-time data to drive decision-making.
Planning for EV charger deployment, and the supporting software and client success team, is especially important. Done right, chargers can be a draw for customers and a revenue stream. Done wrong, they become costly, underutilized assets.
Finally, consider the balance between capital expenses (CapEx) and operational expenses (OpEx). Monthly payment plans, entering into energy-as-a-service agreements, or taking advantage of incentives can shift your financial risk and improve ROI.
Lighting Plays
Lighting is often overlooked, but it’s one of the fastest and easiest wins for dealerships, and other types of businesses. It’s projected that by 2030, some 87 percent of all light sources will be LEDs, according to Statista.
LED retrofits can cut lighting costs by significant margins.
Motion sensors and daylight harvesting automatically adjust usage, reducing waste.
Smart lighting controls let you program lighting schedules that align with dealership hours.
Outdoor lot lighting is another big opportunity to manage costs. Good lighting not only boosts curb appeal and customer confidence—it’s also a key security feature. New LED and control systems allow you to keep your lot bright and safe without wasting energy overnight.
Five Power Moves: Your 2025 Action Plan
In conclusion, if you’re ready to take control of your energy costs and prepare for the road ahead, here are five strategic moves to consider now:
Audit your current energy footprint Know where your energy is going—and what it’s costing you.
Understand your utility rate structure Look for demand charges, time-of-use rates, and opportunities to shift or load-shed.
Set targets and tap into incentives Many states and utilities offer rebates for efficiency upgrades and EV infrastructure. Take advantage of them with help from an expert.
Prioritize quick wins like lighting Low-cost upgrades with fast paybacks help build momentum and show results.
Build a roadmap for EV readiness Start small if needed, but plan ahead for charging infrastructure, software, training, electrical upgrades, and customer expectations.
Ready to learn more? Connect with Future Energy today.
Posted By Sam DiNello
Sam DiNello is Chief Executive Officer at Future Energy. He is an expert in the EV infrastructure space and passionate about innovative data-driven solutions that help companies access real-time intelligence for real-time action.
