Commercial Electricity vs Residential Electricity

    How business electricity differs from household electricity. Tariffs, demand charges, and comparison.

    Compare business energy plans

    Key differences

    Commercial electricity uses different tariff structures. Businesses may face demand charges (based on peak usage), time-of-use rates, and different supply charges. Residential plans typically have simpler usage + supply structures.

    Business rates are set by retailers and vary by site size, usage profile, and contract. Comparing commercial plans helps you find competitive rates for your business type.

    Key takeaways

    • Understand demand charges if you have large equipment
    • Time-of-use can benefit businesses with flexible usage
    • Compare like-for-like (usage, supply, demand)

    Frequently asked questions

    Can I use a residential plan for my business?

    Generally no. Businesses must be on commercial tariffs. Using residential rates for business use can breach terms and cause billing issues.

    Are commercial rates higher?

    Not always. Commercial rates depend on usage, demand, and competition. Comparing reveals the best options.