Renters Turn to One Cooling Hack to Save on Electricity Bills

For renters these days, energy bills can add up quickly.

A new analysis from the National Energy Assistance Directors Association estimates that Americans will spend an average of nearly $800 on electricity from June to September, up 10.5% from the same period last year.

This comes at a time when 1 in 6 U.S. households is behind on its utility bills and nearly 40% of households earning less than $50,000 report difficulty paying energy bills, according to the same report.

“For families already struggling to make ends meet, higher cooling costs can force difficult choices between paying utility bills and covering other necessities such as food, rent, or medicine,” said Mark Wolfe, executive director of the NEADA.

If you rent a home and are looking to slash your energy bill, plug-in power battery solutions may be the answer and the future for renters everywhere. 

A pilot program in New York City is deploying plug-in batteries that power window air conditioner units during peak demand, allowing residents to save money and reduce strain on the electric grid. 

“It’s basically a souped-up version of the power bank that you would use to charge your phone when you go out,” Andrew Wang, the chief executive officer of Every Electric, the company behind the pilot that has partnered with the city’s energy company Con Edison, told NBC New York.

Cole Ashman, founder and CEO at Pila Energy in San Francisco, explains that demand response programs, which pay or reward customers for using less electricity in high usage seasons, have existed for decades, but have been built around homeowners with central air, smart thermostats, or installed storage. 

However, urban areas like New York City or San Francisco belong disproportionately to renters who have been structurally excluded from every one of those programs. 

“Now, apartment dwellers can participate in grid services with hardware that requires zero installation. These batteries are helping democratize resilience and energy independence for those who have been locked out until now,” explains Ashman.

Why plug-and-play AC can be a real game changer for renters

NYC Every Electric’s program works specifically for people with window AC units, who are typically renters.

The devices, which are about the size of a microwave, plug into the AC unit, then into the wall outlet. By using a smartphone app that detects when demand is low, the battery charges during off-peak hours and then powers the AC during peak times.

Plug-and-play AC solutions are solving both an energy and a permission problem. 

“A renter today needs landlord approval to change even a light fixture in some buildings. Plug-in batteries remove this barrier because there is no invasive electrical work needed, no need to pull permits, and even if you do own your home, it doesn’t cost five figures,” says Ashman.

These systems are also modular, so if you move, you can take yours with you. 

“The portability point is often overlooked but super important, because the average renter moves every two to three years,” Ashman explains. 

How battery solutions can lower summer cooling costs

Electricity costs vary throughout the country, so what’s consistent for a place like Manhattan might not apply elsewhere. 

“That said, a window AC draws about 500 to 1,000 watts, roughly the same as a hair dryer. The difference is you run a hair dryer for five minutes, but an AC runs for hours, which is why it dominates summer power bills, and why millions of people switch on at once, straining the grid on the hottest days,” says Ashman.

It’s not that window AC units use a great deal of power, they simply run for a long time, causing electricity costs to rise.

According to Ashman, a battery like Pila stores 1.6 kilowatt-hours of energy—enough to run a window AC for about two hours, keep a refrigerator perfectly chilled for 36 hours, or run your Wi-Fi router for two days. 

The battery recharges overnight when electricity is cheaper and demand is low. Then, in the afternoon when AC is more expensive, it powers your window unit instead of pulling from the strained grid.

That means you can buy electricity when rates are lower and use that stored energy when they’re at their highest.

“The bigger payoff, which still varies by region, comes from utility demand response programs, which pay you for reducing peak usage,” explains Ashman.

Why home energy batteries are safer than you may think

A well-built home battery is safe to run around the clock.

“Think about it: the phone that charges on your nightstand, the laptop plugged in at your desk, and your toothbrush, earbuds, robot vacuum all run on batteries. The average home has dozens of lithium batteries running 24/7,” says Ashman.

Home energy batteries are similar but built to an even higher standard, with battery management systems that continuously monitor temperature, charge, and automatically shut down if anything drifts out of range.

They’re also safer than alternative options, like gas generators.

The backup power option people have trusted for decades—the gas generator—produces carbon monoxide, requires fresh fuel, and because of this can’t be used indoors. A modern home battery has no fumes, fuel, moving parts, and no exhaust,” adds Ashman.

Despite all the positives of home batteries, it’s important to have realistic expectations.

A single battery can power your AC through the worst of the peak—not forever. That’s why you’ll need additional batteries for more coverage,” Ashman explains.

Greg Field, owner at PGT Home Energy Solutions in Tempe, AZ, also notes that installation can be tricky as some plug-ins are more complex than others.

Extreme heat can impair home batteries, so be sure to follow the manufacturer’s installation requirements closely,” says Field.

Lastly, some products are still in pilot mode and demand response programs aren’t available everywhere. Depending on where you live, your options may be limited.