Energy remains one of the largest operating costs for many food and beverage manufacturers. While attention often focuses on total consumption, another factor can have a significant influence on energy costs: peak electricity demand.

A food and drink production facility may use the same amount of electricity over the course of a day yet experience very different energy costs depending on when it is used. Short periods of exceptionally high demand can increase utility prices, place greater pressure on site infrastructure, therefore affecting overall energy expenditure.

Managing those peaks does not require manufacturers to compromise productivity. As the UK electricity system develops, organisations are being encouraged to make better use of energy flexibility.

The Government’s Statutory Security of Supply Report 2025 highlights demand-side flexibility as an important part of creating a more reliable, lower-cost electricity system for businesses and consumers alike. By understanding when it is used, manufacturers can improve operational efficiency while helping to reduce pressure on the wider network.

Why Peak Electricity Demand Matters More Than Total Energy Consumption

Electricity consumption measures how much energy a facility uses over time. Peak demand measures the highest level of electricity drawn from the grid during a defined period, often measured over 15 or 30 minutes depending on the supplier and tariff.

For food and beverage manufacturers operating refrigeration systems, pasteurisers, ovens, packaging equipment and compressed air systems, demand can rise sharply when several energy-intensive pieces of equipment run simultaneously.

Although those spikes may represent only a small proportion of the working day, they can influence a significant proportion of electricity costs where demand-related charges apply. They may also determine the electrical capacity a site requires from the local grid.

The Carbon Trust explains that flexible electricity use benefits individual businesses alongside the wider energy system. Shifting demand away from peak periods can reduce pressure on electrical infrastructure while helping organisations manage energy costs more effectively.

What Causes Peak Demand in Food & Beverage Manufacturing?

Every manufacturing facility has its own energy profile, although several activities regularly contribute to demand spikes.

Production start-up is one of the most common examples. Multiple production lines, refrigeration systems, ventilation equipment and process equipment may all begin operating within a short timeframe, creating a sharp increase in electricity demand.

Heating and cooling processes can have a similar effect. Ovens, chillers and freezers require substantial power while reaching operating temperatures before settling into a more consistent energy requirement.

Cleaning in Place (CIP) systems introduce another period of elevated demand. Pumps, heating equipment and water circulation systems often operate alongside other production processes, increasing the site’s overall energy consumption.

Without monitoring, many manufacturers remain unaware of exactly when these peaks occur or which equipment contributes most heavily.

The Cost of High Peak Demand

Sites experiencing repeated demand spikes may face higher electricity bills and greater exposure to price fluctuations, depending on their contract. Businesses planning future expansion may also discover that increasing available electrical capacity requires expensive infrastructure upgrades.

This is important if manufacturers are using more electricity for their operations. According to the UK Government, improving flexibility across the network could help deliver savings of up to £10 billion per year by 2050 by reducing the need for additional grid reinforcement and generation capacity.

Viewing electricity as an operational resource instead of another utility cost allows manufacturers to identify opportunities for greater efficiency across the entire production process.

Practical Ways to Reduce Peak Demand Without Affecting Production

Understand Your Demand Profile

Energy monitoring systems provide detailed information about consumption patterns, allowing manufacturers to identify exactly when demand peaks occur and which equipment is responsible. This insight provides a foundation for informed operational decisions rather than assumptions.

The ISO 50001 framework encourages continual monitoring and improvement, helping organisations identify opportunities to optimise energy performance over time rather than relying on one-off initiatives.

Schedule Equipment More Strategically

The objective here is to spread electricity demand more evenly across the working day while maintaining production schedules.

So, instead of starting several high-load systems simultaneously, stagger the production line start-up or adjust the sequence of supporting equipment where it makes the most operational sense.

Flexible processes, such as cleaning cycles and charging equipment, can often be scheduled outside periods of the highest demand without affecting production output.

Introduce Battery Energy Storage

Stored energy can supply part of the site’s electricity requirement and, ultimately, replace the need to draw large amounts directly from the grid during busy production periods. Batteries can then recharge when demand or electricity prices are lower.

The Carbon Trust identifies battery storage as an incredibly valuable technology for organisations seeking to reduce peak demand, improve energy resilience and maximise the value of on-site renewable generation.

Generate More Electricity On Site

Commercial solar PV can play an important role in reducing daytime grid demand.

Food and beverage manufacturing often involves consistent daytime electricity consumption, which aligns operational demand with solar generation. When produced on site, this can supply production equipment directly, reducing the amount imported from the grid during working hours.

When combined with battery storage, excess electricity generated from solar production can be stored for use later in the day, extending the value of the system beyond daylight hours.

As more manufacturers seek greater control over long-term operating costs, on-site generation is becoming a vital part of wider energy strategies.

Build an Energy Strategy Around Production

Every manufacturing facility operates differently, so there is no single approach to managing peak electricity demand.

The strongest strategies begin with understanding how production drives energy use. From there, manufacturers can identify opportunities to stabilise demand and make better use of technologies such as battery storage and commercial solar.

Manufacturers that understand when energy is used, rather than simply how much is consumed, will be better positioned to manage operating costs and future capacity requirements.

At Noble Green Energy, we offer full end-to-end solar PV consultancy and project management. Our team reviews your energy usage among other factors to gather data to inform your site’s system design.

As part of the Noble Foods Group, Noble Green Energy is embedded in the food industry. We’ve helped a number of food and beverage manufacturers with their commercial solar generation, so get in touch with us today to see how we can help you.

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