Nursing Home Electricity Costs in Ohio: 2026 Buying Guide

Updated Ohio Commercial Energy editorial teamHow we review contentBook a free 15-min bill review

How much electricity do nursing homes and senior-living communities use?

CBECS 2018 puts nursing homes and assisted-living buildings at about 19.4 kWh per square foot per year; the average building uses about 788,000 kWh a year.

Illustrative site Annual use Est. peak demand Est. capacity tag Capacity cost at 2026/27 price Value of 0.5¢/kWh
25,000 ft² 485,000 kWh 92 kW 83 kW $9,978/yr (≈2.1¢/kWh) $2,425/yr
40,000 ft² 776,000 kWh 148 kW 133 kW $15,965/yr (≈2.1¢/kWh) $3,880/yr
80,000 ft² 1.55 million kWh 295 kW 266 kW $31,929/yr (≈2.1¢/kWh) $7,760/yr

How these numbers are built: annual use = 19.4 kWh/ft² (EIA CBECS 2018 Table C22, nursing home or assisted living (mean; median 20.1)). Peak demand assumes a 60% load factor; the capacity tag assumes 90% of that peak falls in the grid's summer peak hours. Capacity cost uses PJM's 2026/27 clearing price of $329.17/MW-day (about $120 per kW-year) before utility scaling factors. These are illustrations for sizing a decision — your own bills and interval data are what suppliers price.

Where the electricity goes

EIA groups nursing homes with lodging, where ventilation (about 25%), lighting (15%) and cooling (12%) lead. Resident rooms, laundry, commercial kitchens and medical equipment run every day.

When the load peaks — and why that matters for price

Facilities run 168 hours a week with residents who need stable temperatures, so HVAC cannot be set back the way an office can. Summer afternoons set the peak.

In Ohio's PJM market, the capacity part of your generation cost is set by how much you use during the grid's few highest summer peak hours. With a 60% load factor and about 90% of the site peak landing in those hours, capacity alone works out to roughly 2.1¢ per kWh at the 2026/27 price of $329.17/MW-day — compared with about 0.2¢ at the 2024/25 price of $28.92. That jump, not the energy price, explains most of the 2025–2026 increase in Ohio business electricity bills.

How nursing homes and senior-living communities in Ohio buy electricity

A typical facility sits around Ohio’s 700,000 kWh/yr mercantile line; operators with several facilities usually buy them together on fixed terms to support Medicaid-driven budgets.

If you… Usually consider
need a fixed monthly budget a 12–36 month fixed price with capacity included (fixed vs variable)
can move load away from summer peak hours a product that passes capacity through at cost, so reducing your capacity tag lowers your bill
use more than 700,000 kWh a year at a site an interval-data RFP, block-and-index structures, and HB 15's behind-the-meter options
are 700,000 kWh a year or less and never chose a supplier first check whether you're already in a community aggregation program

Ohio rules that affect this industry

  • Budget certainty tends to matter more than squeezing the lowest price, so ask for capacity-inclusive fixed pricing and a volume band wide enough for occupancy changes.
  • Supplier choice applies to customers of AEP Ohio, Duke Energy Ohio, AES Ohio, Ohio Edison, The Illuminating Company and Toledo Edison. Municipal-utility and electric-cooperative customers generally can't choose a supplier.
  • Ohio does not charge sales tax on electricity; the per-kWh excise tax does appear on bills.
  • As of 2026, Ohio's utilities do not offer general business efficiency rebates, so upgrades must pay back on bill savings (plus any federal tax treatment).
  • Under HB 15 (effective August 14, 2025), suppliers must send two notices before a fixed-rate contract rolls to a variable rate — but only to accounts with demand of 25 kW or less. Larger sites should track their own expiration dates.

Ways nursing homes and senior-living communities cut electricity costs

  • Commission HVAC controls so resident comfort is maintained without simultaneous heating and cooling.
  • Move laundry and dish operations away from summer late-afternoon peak hours where staffing allows.
  • Upgrade corridor and common-area lighting (24/7 hours) to LED.
  • Document generator capabilities; some facilities can participate in demand response without affecting residents.

Nursing homes & senior living by Ohio metro

Single-site cost models by city and multi-site buying guides by county:

FAQ

How much electricity does a nursing home use?

CBECS 2018 reports about 788,000 kWh a year for the average nursing-home or assisted-living building.

Why can’t nursing homes cut HVAC like offices do?

Residents are present 24/7 and have health-based temperature needs, so savings come from equipment efficiency and controls rather than setbacks.

Can multiple facilities share a contract?

Yes. Suppliers can price a multi-facility portfolio together, even across utility territories.

Sources

Operating evidence for the next contract

For nursing homes & senior living, an electricity quote should reflect the actual operation rather than a generic business category. Give the reviewer the opening schedule, continuously required systems, planned equipment changes and the responsible legal customer. A national building benchmark can frame a question, but cannot prove the usage or saving at your facility.

Evidence to review Decision it supports
Current operating schedule and required service levels Identify whether the quoted load shape represents the next term, rather than last year’s business
Equipment and controls associated with nursing home operations Separate a procurement question from an engineering or maintenance question
A committed expansion, closure or tenant/ownership change Review usage tolerance, assignment and site add/delete rights before signing
Written supply inclusions and exclusions Distinguish an energy-only offer from a product that includes capacity or other components

Separate safe operating changes from price decisions

Use an appropriate facility specialist to validate technical changes. Document generator capabilities; some facilities can participate in demand response without affecting residents. Treat that as a potential review item, not a guaranteed saving or permission to alter safety-critical settings. Medical, food, process and temperature requirements take precedence over an energy target.

Retain a base case without assumed rebates or unapproved tax benefits. If a project materially changes electricity use, ask the supplier how it affects the contract rather than silently carrying the old consumption profile forward. A lower supply price and reduced consumption are separate effects and should not be counted twice.

Keep the bid review practical

Compare at least the proposed start date, included components, monthly fees, renewal clause, exit rules and the treatment of expected load changes. Ask who is responsible for enrollment and what happens if a meter cannot switch on the expected date. An adviser should be able to explain why staying on the current arrangement may be appropriate.

The browser-only comparison tools keep inputs private. Start an Ohio electricity inquiry with the utility and question, without bills or account identifiers. For the common vocabulary behind the comparison, consult PUCO’s bill definitions.

Our 5-step procurement process

A clear sequence from usage data to supplier enrollment—built for Ohio commercial and industrial accounts.

1

Data Collection

We gather your historical energy usage data (usually 12 months of utility bills or interval data).

2

Market Analysis

We analyze your consumption patterns and identify the key drivers of your energy costs.

3

Supplier RFP

We request prices from multiple PUCO-certified suppliers active in your utility territory, using your real usage.

4

Negotiation & Analysis

You get a side-by-side comparison against your utility's default price, with contract terms and our compensation shown in ¢/kWh.

5

Execution

If you choose a supplier, we coordinate the contract and enrollment. Your utility confirms the switch by letter and keeps delivering your power.

Request a reviewCall