How much does energy cost per month for a gym business?

This article was written by our expert who is surveying the industry and constantly updating the business plan for a gym.

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The Dojo Business Team

A team of financial experts, consultants, and writers

We're a team of finance experts, consultants, market analysts, and specialized writers dedicated to helping new entrepreneurs launch their businesses. We help you avoid costly mistakes by providing detailed business plans, accurate market studies, and reliable financial forecasts to maximize your chances of success from day one—especially in the gym and fitness industry.

What is the square footage of your gym and how many floors or sections will it include?

Commercial gyms typically range from 3,000 to 8,000 square feet, with larger facilities exceeding 20,000 square feet for comprehensive fitness centers.

Boutique studios operate in smaller spaces around 3,813 square feet, focusing on specialized fitness programs like yoga, pilates, or high-intensity training. The layout directly impacts energy consumption as larger spaces require more lighting, climate control, and equipment distribution across multiple zones.

Most gyms organize their space into distinct sections: cardio zones requiring 100 square feet per machine, weightlifting areas needing 40-50 square feet per machine, and functional training spaces spanning 500-1,000 square feet. Locker rooms and amenities typically consume 10-20% of total floor space but require significant energy for water heating, ventilation, and lighting.

Multi-level facilities, such as university gyms, may include separate basketball courts, dance studios, and event spaces on different floors, each requiring independent climate control and lighting systems. This separation allows for zone-based energy management but increases overall consumption.

You'll find detailed market insights about optimal gym layouts in our gym business plan, updated every quarter.

What type of equipment will you use and how many machines require electricity?

Cardio equipment represents the highest energy-consuming category in most gyms, with treadmills leading at 725-1,450 watts per machine.

Modern smart strength equipment like EGYM systems consume only 43 watts per machine, significantly reducing energy costs compared to traditional cardio equipment. Self-powered cardio machines that generate electricity from user movement can further reduce consumption.

Free weights, barbells, and traditional strength training equipment require no electricity, making them energy-efficient choices for cost-conscious gym owners. The key is balancing member expectations for high-tech equipment with operational energy costs.

How many hours per day and days per week will your gym operate?

Most commercial gyms operate 12-24 hours daily, with 24-hour facilities becoming increasingly popular for member convenience.

Peak usage typically occurs between 5 PM and 8 PM on weekdays, with secondary peaks around 6-8 AM for early morning workouts. Weekend patterns show more consistent usage throughout mid-morning to early evening hours.

Operating hours directly impact energy costs through equipment runtime, lighting duration, and HVAC system operation. Class-based studios may close one day per week (often Sundays) to reduce operational costs, while full-service gyms typically operate 5-7 days weekly.

Extended hours require security systems, emergency lighting, and climate control even during low-occupancy periods. Some gyms implement reduced lighting and equipment availability during off-peak hours to manage energy consumption while maintaining 24-hour access.

This is one of the strategies explained in our gym business plan.

What is the typical wattage or energy consumption per machine or equipment category?

Energy consumption varies dramatically across different equipment categories, with cardio machines requiring the most electricity.

Treadmills dominate energy consumption due to their powerful motors and continuous belt operation. High-end models with advanced displays, built-in entertainment systems, and sophisticated incline mechanisms consume the most electricity.

Smart equipment like EGYM machines represent a significant advancement in energy efficiency, using sophisticated software and minimal hardware to provide comprehensive strength training while consuming minimal electricity.

What lighting systems should you install and how much energy do they consume monthly?

Lighting represents 20-30% of total gym energy consumption, with significant savings potential through LED upgrades and smart controls.

Traditional metal halide fixtures consume approximately 400 watts each and generate ~44,554 kWh annually (3,713 kWh monthly) for a typical gym facility. LED retrofits reduce this consumption by 50-80%, bringing monthly usage down to approximately 1,140 kWh.

High-bay LED lighting systems designed for gyms typically consume 150-200 watts per fixture while providing superior illumination quality and longer lifespan. Motion sensors and preset lighting levels can reduce consumption by an additional 15-25% during low-occupancy periods.

Smart lighting controls allow zone-based management, automatically adjusting brightness based on occupancy and time of day. Emergency lighting systems add minimal consumption but are mandatory for safety compliance during extended operating hours.

We cover this exact lighting strategy in the gym business plan.

What HVAC system should you use, and how much does it contribute to the overall energy bill?

HVAC systems account for 25-40% of total gym energy consumption, making them the largest or second-largest expense category.

Commercial gym HVAC systems must manage high occupancy loads, equipment heat generation, and humidity from showers and swimming facilities. Zoning systems allow targeted climate control for different areas, reducing energy waste in unoccupied sections.

Smart thermostats reduce runtime during off-peak hours while maintaining minimum comfort levels for 24-hour facilities. Variable-speed equipment adjusts power consumption based on actual demand rather than running at full capacity continuously.

Seasonal variations significantly impact HVAC costs, with increases of 15-30% during extreme temperature months. Proper insulation, efficient equipment selection, and regular maintenance optimize performance and reduce energy consumption.

Energy recovery ventilation systems capture heat from exhaust air to pre-condition incoming fresh air, reducing the load on primary HVAC systems while maintaining air quality standards required for fitness facilities.

How much energy is used for amenities like saunas, pools, showers, or sound systems?

Amenities typically consume 10-15% of total gym energy, with saunas being the most energy-intensive feature.

Saunas consume energy equivalent to 200 smart strength machines during operation, making them significant contributors to energy costs. Steam rooms require both electrical heating and substantial ventilation to manage humidity.

Water heating for showers represents a continuous energy demand, with low-flow fixtures reducing consumption by 20-30%. Pool facilities require 24-hour filtration and heating systems, substantially increasing baseline energy consumption.

What are the average monthly electricity rates from local utility providers?

Electricity rates vary significantly by geographic location, with U.S. commercial rates averaging $0.10-$0.15 per kWh in most regions.

Regional variations show rates as low as $0.08 per kWh in states with abundant energy resources and as high as $0.25 per kWh in areas with limited supply or high environmental standards. International rates vary even more dramatically, with some European markets exceeding $0.30 per kWh.

Commercial rate structures often include demand charges based on peak usage, time-of-use pricing with higher rates during peak hours, and seasonal adjustments. Understanding your local utility's rate structure is crucial for accurate cost projections.

Many utilities offer special rates for businesses that commit to energy efficiency improvements or participate in demand response programs. These programs can reduce rates by 10-20% in exchange for temporary load reductions during peak demand periods.

It's a key part of what we outline in the gym business plan.

How does energy usage vary by season, especially during peak heating or cooling months?

Seasonal energy usage fluctuations typically range from 15-30% above baseline during extreme weather months.

Summer months show increased consumption due to air conditioning loads, especially in hot climates where HVAC systems run continuously to maintain comfortable temperatures for high-intensity workouts. Winter heating costs vary by region, with northern climates experiencing significant increases.

Gym occupancy patterns also change seasonally, with January seeing "New Year resolution" spikes that increase equipment usage and HVAC demand. Summer months may see reduced overall occupancy but higher per-person cooling requirements.

Pool and spa facilities show inverse seasonal patterns, with pool heating costs rising in winter and spa usage increasing. Indoor air quality requirements remain constant year-round, maintaining minimum ventilation loads regardless of outdoor conditions.

Seasonal rate adjustments by utilities compound these usage changes, with some regions implementing higher summer rates to manage grid demand. Planning for these variations is essential for accurate annual budgeting.

Are there off-peak hour rates or time-of-use pricing that can be leveraged?

Many utilities offer time-of-use pricing with rates 20-40% lower during off-peak hours, typically overnight and mid-day periods.

Peak rate periods usually occur during early evening hours (4-9 PM) when overall electrical demand is highest. Off-peak rates apply during late night, early morning, and sometimes mid-day hours when grid demand is lower.

Some gyms offer discounted "off-peak" memberships to encourage usage during lower-rate periods, creating a win-win scenario for both energy costs and member pricing. These memberships might restrict access to peak hours while providing full facility access during discounted rate periods.

Equipment scheduling can take advantage of time-of-use rates by running maintenance cycles, equipment updates, and non-essential systems during off-peak hours. Pool heating and hot water systems can be programmed to operate primarily during lower-rate periods.

Demand response programs may offer additional savings by reducing consumption during utility peak demand events, typically 5-10 times per year during extreme weather conditions.

What energy-saving technologies or practices should you implement?

Energy-saving technologies can reduce total gym energy costs by up to 30% through strategic implementation across all major consumption categories.

1. LED Lighting Retrofits: Replace all traditional fixtures with LED systems to achieve 50-80% lighting energy reduction with improved illumination quality and reduced maintenance costs.
2. Smart HVAC Controls: Install programmable thermostats, zoning systems, and occupancy sensors to optimize heating and cooling based on actual usage patterns rather than fixed schedules.
3. Energy-Efficient Equipment: Choose EGYM smart strength machines (43W consumption) and self-powered cardio equipment that generates electricity from user movement.
4. Water Conservation Systems: Install low-flow showerheads and fixtures to reduce hot water heating costs by 20-30% while maintaining member satisfaction.
5. Building Automation Systems: Implement centralized control systems that automatically adjust lighting, HVAC, and equipment based on occupancy schedules and environmental conditions.

Energy management systems provide real-time monitoring and automated controls, identifying waste patterns and optimizing consumption without sacrificing member experience. Solar panel installations can offset 20-50% of energy costs in suitable climates with proper roof orientation.

Regular energy audits identify specific improvement opportunities and quantify potential savings from various upgrade options. Many utilities offer rebates and incentives for energy-efficient equipment installations, reducing upfront investment costs.

What is the total monthly energy cost broken down by category?

Total monthly energy costs for commercial gyms typically range from $500 to $3,000, depending on facility size, equipment selection, and operational patterns.

These costs assume standard efficiency equipment and moderate climate conditions. Facilities with pools, saunas, or extensive amenities will see higher consumption in those categories. Geographic location significantly impacts these ranges due to electricity rate variations.

Energy-efficient upgrades can reduce these costs by 20-30% across all categories, with the largest savings potential in lighting and HVAC systems. Peak hour usage patterns and seasonal variations will cause monthly fluctuations around these baseline estimates.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are encouraged to consult with a qualified professional before making any investment decisions. We accept no liability for any actions taken based on the information provided.

Sources

1. Gym Size Guidelines - WOD Guru
2. Commercial Gym Space Requirements - Exercise.com
3. Home Gym Electricity Usage - Niccolo
4. Energy Consumption in Fitness - EGYM
5. LED Lighting Energy Savings - Good Light
6. HVAC Energy Saving Practices - Energy5
7. Gym Expenses Guide - Arbox
8. Energy Cost Reduction Strategies - FM Consulting