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How to Avoid Higher Electricity Costs When Adding EV Charging to Your Hotel

SMAPPEE Blog Capacity Tariffs and EV Charging

As more guests arrive in electric vehicles, hotels are increasingly expected to offer charging facilities. But many hospitality businesses are discovering that installing chargers can also increase electricity costs in unexpected ways.

The reason is simple: in many European countries, electricity bills are no longer based solely on how much energy you consume. They are increasingly influenced by how much power your building draws at its busiest moment.

Why Electricity Costs are Changing

Across countries such as Belgium, the Netherlands and France, commercial electricity tariffs increasingly include a capacity or peak demand charge.

This means your electricity bill is influenced not only by total energy consumption (kWh), but also by your site's highest power demand (kW) during the billing period.

In practice, a short-lived spike in electricity demand can affect costs for the entire month.

For hotels, this creates a new challenge: reducing energy consumption alone is no longer enough. Managing demand peaks has become equally important.

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Hotels naturally experience demand peaks

Most hospitality venues already have predictable periods of high electricity demand.

Typical peak moments include:

  • Breakfast and dinner service in restaurant kitchens
  • High occupancy periods requiring additional heating or cooling
  • Conference and event spaces operating simultaneously
  • Wellness facilities such as pools, spas and saunas
  • Laundry operations

The Hidden Cost of Unmanaged EV Charging

Imagine a busy evening: the restaurant is serving dinner, the spa is operating at full capacity, guests are returning to their rooms, and several EV drivers plug in their vehicles at the same time.

If every charger delivers maximum power immediately, the combined demand can create a significant spike in your site's electricity usage.

Even if this peak lasts only a short time, it can increase the demand charge applied to your electricity bill. For hotel groups operating multiple sites, these additional costs can quickly add up.

The impact on your site's peak demand depends largely on the type of chargers installed. While AC chargers are typically suited to overnight guest charging, DC chargers can significantly increase instantaneous power demand. Smart charging is the solution.

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How an Energy Management System keeps costs under control

An Energy Management System (EMS) gives hotels real-time visibility into how energy is being used across the property, from HVAC and kitchen equipment to EV chargers and on-site renewable energy assets.

By continuously monitoring total building consumption, the system can automatically manage charging sessions through integrated load management. This ensures EV charging adapts to the energy available on site and prevents unnecessary demand peaks.

For example:

  • During dinner service, charging power can be temporarily reduced when building demand is high.
  • Once restaurant activity decreases, more power can be allocated to charging.
  • Guests still receive the charge they need, while the hotel avoids costly demand spikes and unnecessary grid upgrades.

When combined with solar panels and battery storage, an EMS enables hotels to optimise energy use across the entire site, creating a better balance between guest satisfaction, operational efficiency and energy costs.

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Turning EV charging into a business advantage

EV charging is rapidly becoming an expected amenity for many travellers. However, adding chargers without considering peak demand can create unnecessary operational costs.

By combining EV charging with an Energy Management System, and where possible solar and battery storage, hotels can:

  • Control electricity costs
  • Avoid capacity tariff penalties
  • Maximise the use of self-generated energy
  • Improve sustainability credentials
  • Deliver a better guest experience

As electricity pricing continues to evolve across Europe, managing demand peaks will become just as important as reducing energy consumption.

For hotels still evaluating the business case for guest charging, it's worth considering the broader benefits beyond energy management, including guest satisfaction, additional revenue opportunities and future-proofing your property.