Commercial laundry energy guide

Laundromat electricity cost calculator

Estimate the electricity portion of a laundromat’s monthly utility cost. The model separates total energy from the highest billed demand so you can see what usage and machine concurrency each contribute.

Reviewed July 29, 2026
Monthly estimate

Commercial electricity bill

Live calculation
Use the values printed on your tariff or latest bill for the closest estimate. State averages do not include every tariff component.
Estimated monthly total
$3,447
Effective rate $0.19/kWh
Energy$2,160
Demand$1,044
Fixed + tax$243
Demand share30%

of this estimate comes from the highest measured interval, not total energy use.

Worked example

Example bill for an 18,000 kWh laundromat

At 18,000 kWh and $0.12/kWh, a 58 kW billed peak at $18/kW, a $95 fixed charge, and 4.5% in taxes and riders produces an illustrative electricity estimate of about $3,447 per month. Approximately $1,044 of that scenario is the demand charge. Your actual result depends on the tariff, machine mix, fuel choices, and customer volume.

Start with the laundromat’s fuel map

Before comparing one store with another, identify which loads use electricity and which use natural gas. A location with gas-fired dryers and water heating can have a lower electric bill but a significant gas bill. An all-electric location may concentrate more operating cost and peak demand on the electric meter.

The U.S. Environmental Protection Agency notes that laundry water efficiency can also produce energy savings because less hot water needs to be heated. ENERGY STAR says certified commercial clothes washers are, on average, 9% more energy efficient and use about 45% less water than standard models. Those are product-category comparisons, not guaranteed store-level savings.

A practical bottom-up estimate

LoadBest measurementCommon estimation mistake
WashersCycles × measured kWh per cycleAssuming every machine runs continuously.
Electric dryersInput kW × loaded runtimeIgnoring cycling and partial loads.
Water heatingHot-water volume and heater efficiencyLeaving electric water heat out of the peak.
HVAC and lightingSchedule or interval dataUsing store-open hours for every load.

How to reduce uncertainty before investing

  1. Collect at least 12 months of electric, gas, water, and sewer bills.
  2. Record washer cycles and dryer minutes by machine size for a normal week.
  3. Check whether the electric tariff includes demand charges, time-of-use periods, or ratchets.
  4. Separate baseload from customer-driven load by comparing closed and busy intervals.
  5. Use submetering or temporary loggers before replacing the highest-cost equipment.

Cold-water programs, high-extraction-speed washers, water reuse, efficient dryers, and better sequencing may reduce costs, but each option should be evaluated against customer requirements, utility prices, equipment capacity, and maintenance needs.

Frequently asked questions

What uses the most energy in a laundromat?

The answer depends on the fuel mix. Electric dryers and electric water heating can dominate electricity use, while gas-fired dryers and water heaters shift much of that cost to the gas bill. HVAC, lighting, vending, and machine controls add smaller loads.

Can starting several machines together increase the bill?

It can when the utility applies a demand charge. Overlapping electric dryers, water heating, HVAC, and washer extraction can raise the highest measured kW interval even if monthly kWh changes little.

Does the calculator include water and sewer charges?

No. It calculates electricity charges only. Water, sewer, natural gas, maintenance, rent, and payment-processing costs should be modeled separately.

Sources and related tools