Electricity Consumption: Which Industries Use the Most?

Electricity consumption is a measure of the amount of electrical energy that is used by households, businesses, and other organisations over a given period. It is an important indicator of economic activity and provides crucial data for policymakers to assess the impact of energy policies and understand the patterns of energy use.

Businesses across the world are among the biggest consumers of electricity. Electricity is a major part of the cost structure of many businesses, and managing electricity costs is an important part of running a successful business. By understanding electricity consumption by businesses, businesses can implement strategies to reduce their electricity costs. 

What Industries Consume the Most Electricity?

As such, it is no surprise that the industries that consume the most electricity are those that are critical to the world economy. These industries include manufacturing, transportation, construction, and agriculture.


Manufacturing is one of the biggest consumers of electricity and accounts for about 20% of global electricity consumption. This is due to the fact that factories need to operate large machinery, use lighting, and run air conditioning and ventilation systems. In addition, many manufacturing processes require significant amounts of energy to operate.


Transportation is another big consumer of electricity, accounting for over 10% of global electricity consumption. This is mainly due to the use of electric vehicles and trains and the need to power the infrastructure that supports them. Electric vehicles and trains require large amounts of electricity to move and to charge their batteries.


Construction is another industry that consumes a large amount of electricity. This is largely due to the need to power construction equipment and lighting. In addition, construction sites often require large amounts of electricity to run air conditioning, heating, and ventilation systems.


Finally, agriculture is also a major consumer of electricity. This is because of the use of power irrigation systems, electric tractors and other farm equipment. In addition, many agricultural processes, such as grain milling and food processing, require significant energy.

How Can Businesses Reduce Their Electricity Consumption?

Reducing electricity consumption is important in reducing operating costs and becoming more sustainable. Here are some tips on how businesses can reduce their electricity consumption.

1. Invest in Energy-Efficient Equipment

Investing in energy-efficient equipment is one of the easiest ways to reduce electricity consumption. This includes replacing old, inefficient appliances with modern, energy-efficient models. Additionally, businesses should look into LED lighting and other energy-saving technologies.

2. Install Renewable Energy Sources

Installing renewable energy sources, such as solar panels, can effectively reduce electricity consumption. Renewable energy sources are more sustainable and can help reduce operating costs.

3. Educate Employees

Educating employees on energy conservation can reduce electricity consumption. Encourage employees to turn off equipment when not in use, or to use energy-efficient settings when available.

4. Implement an Energy-Management System

An energy-management system can help businesses monitor and control electricity consumption. This can help businesses identify areas where electricity consumption can be reduced.

5. Upgrade Lighting

Upgrading lighting can help reduce electricity consumption. Replace traditional bulbs with energy-efficient LED bulbs and install motion sensors that turn off lights when not in use.

6. Take Advantage of Utility Incentives

Utility companies often offer incentives for businesses that reduce electricity consumption. These incentives can offset the cost of energy-saving measures.


Businesses need to be aware of their energy consumption in order to save money and be more sustainable. There are a number of ways to do this, including energy audits, tracking energy use, and setting goals. Additionally, businesses can encourage employees to conserve energy, use energy-efficient products, and take other measures to reduce their energy consumption.

If you are looking for electricians in Melbourne for energy-saving solutions, you can hire us at Seven20 Electrical. We do mostly solar powered work that is sustainable and will help your business save a lot. Get in touch with us at Seven20 Electrical to learn more about our services.

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