In a notable initiative aimed at reducing energy costs for small businesses, Black Seed Bagels in northern Brooklyn has become a pioneer in a battery-powered electricity storage programme. This innovative scheme, orchestrated by David Energy, is designed to help companies manage their electricity consumption more effectively, thereby alleviating the financial burden of peak demand charges.
Energy Efficiency through Battery Storage
Nestled within Black Seed Bagels’ bustling kitchen is a powerful electric oven, affectionately dubbed the “Baconator,” which plays a vital role in the bakery’s operations. This oven, alongside energy-intensive refrigerators, is now powered by a compact battery system that is helping the business diminish its reliance on the local electric grid. Co-owner Noah Bernamoff recently discussed the programme, highlighting how the 2.8-kilowatt-hour battery operates during peak hours to mitigate energy costs.
Businesses like Black Seed Bagels often grapple with substantial demand charges—fees based on the maximum energy consumption within a given month. These charges can constitute a significant portion of monthly utility bills, sometimes reaching up to half. By leveraging battery power during peak times, Black Seed aims to lower its energy demand from Con Edison, New York’s primary electric utility, and consequently reduce its overall expenses.
The Role of David Energy
David Energy, a New York-based retail energy provider, has been instrumental in this battery initiative. The company supplied the batteries at no cost last August and utilises its proprietary software to manage when the kitchen appliances draw on this backup power. Vivek Bhagwat, the head of engineering at David Energy, expressed optimism that these batteries will be particularly beneficial during the sweltering summer months, when energy consumption typically spikes due to air conditioning demands.
“In the summer, when cooling needs peak, we’re hopeful that our battery system will help mitigate energy use,” Bhagwat stated, while observing the shop’s bustling operations.
Bernamoff projects that even minor savings from the battery system could yield substantial financial benefits across all ten Black Seed locations in New York City. For instance, if each shop saves roughly £80 per month, the cumulative savings could amount to nearly £10,000 annually.
Expanding the Initiative
James McGinniss, CEO of David Energy, believes this “do-it-yourself battery” approach has the potential to significantly assist small businesses in addressing rising energy costs, not only in New York City but elsewhere. Alongside Black Seed, the company has installed similar battery systems in various establishments, including fast-food outlets and wellness centres.
By mid-January, David Energy had secured agreements to deploy batteries in approximately 50 locations, totalling over 500 kilowatt-hours of energy storage capacity. This pilot programme aligns with a growing global interest in DIY energy technologies, which are increasingly seen as viable solutions for energy independence and cost reduction.
The Future of Energy Management
As portable batteries gain traction among consumers seeking backup power during outages without resorting to fossil fuel generators, David Energy is strategically positioning itself in a competitive energy market. McGinniss explained that the underlying goal of the battery programme is to help customers manage one of the most challenging components of their utility bills: demand charges.
These fees, which can represent 15 to 50 per cent of monthly invoices for commercial clients, are assessed based on peak energy draw within short timeframes. By employing stored battery power during high-demand periods, businesses can significantly alleviate these costs. McGinniss estimated that reducing peak demand by one kilowatt could translate into savings of about £50 monthly.
For Black Seed Bagels, the prospect of expanding its battery capabilities to include larger-scale storage systems is tantalising. With forthcoming regulations encouraging the electrification of buildings, Bernamoff is keen to explore how these systems can further optimise energy consumption and reduce expenses.
“The potential for industrial batteries is significant,” he remarked, noting that effective management of energy use across all appliances could lead to even greater efficiency and savings.
Why it Matters
The implications of this battery storage initiative extend beyond Black Seed Bagels; they represent a critical shift in how small businesses can navigate rising energy costs and the transition to sustainable practices. As the demand for cleaner energy solutions grows, programmes like this not only empower local businesses to thrive but also contribute to larger efforts aimed at reducing carbon footprints and enhancing energy resilience in urban environments.