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Why Massachusetts Commercial Energy Bills Are So High in 2025

September 22nd, 2025

4 min read

By John Flaherty

Close-up of a person calculating energy expenses with a calculator, holding utility bills, and reviewing bar charts,representing rising energy costs in Massachusetts in 2025.

If you manage a commercial building in Massachusetts, there’s a good chance your latest energy bill made your eyes go wide.

You’re not imagining things. It’s not a mistake. And it’s not just you.

Energy costs across the state have jumped. For many facility managers, that’s meant frozen budgets, deferred upgrades, and a whole lot of uncomfortable meetings with leadership asking, “Why is this happening?”

Let’s break down what’s really going on, why it’s hitting your business harder than expected, and most importantly, what you can do about it.

1. Massachusetts Energy Rate Hikes and New Regulations Are Driving Up Costs

Massachusetts has made bold clean energy commitments, leading the country in aggressive carbon-reduction targets. While that’s a win for long-term sustainability, it also comes with short-term costs — and many of those are being passed directly to commercial customers.

In 2024 and 2025, the Department of Public Utilities approved multiple rate increases to help fund major grid modernization, solar integration, and offshore wind development. The impact? Older buildings with legacy systems are paying a steep premium through higher base rates, time-of-use pricing, and demand surcharges.

How to Respond to Rising Utility Rates

Start by digging into your utility bills. Look for unusual peaks, especially during off-hours. That’s often a sign your systems are running inefficiently or out of sync. Even small adjustments in scheduling or load balancing can lead to significant savings. If you haven't already, consider installing a Building Management System (BMS) to help automate and monitor usage.

2. How Aging Commercial HVAC Systems Waste Energy and Raise Bills

If your HVAC system is more than 15 years old, it’s not just inefficient; it’s likely costing you every month.

We recently reviewed a manufacturing facility on the South Shore. Their rooftop unit, installed in 1999, hadn’t been flagged as an issue until their energy costs jumped 30% over two years. Once assessed, the unit was found to be short-cycling, airflow was inconsistent, and the controls were severely outdated. After switching to a high-efficiency, variable-speed system, their energy use dropped by more than 20%, and the return on investment came in under three years.

Steps to Improve HVAC Efficiency

Don’t wait until there’s a failure. Schedule a professional HVAC assessment now to identify inefficiencies. In many cases, a retrofit or targeted upgrade can pay for itself faster than expected.

3. Extreme Massachusetts Weather Is Increasing Heating and Cooling Demand

Massachusetts has seen record heat in summer and brutal cold snaps in winter. Your building is feeling it.

When outdoor temperatures swing to extremes, HVAC systems push harder to maintain comfort. If your building envelope isn’t optimized, or if staff are constantly adjusting thermostats, energy usage can spike rapidly.

Ways to Reduce Weather-Related Energy Spikes

Audit your building’s insulation, windows, and doors. Small leaks add up. Improving your building envelope is one of the most cost-effective ways to reduce heating and cooling load. Also, tighten your thermostat policies even a 2-degree adjustment can save hundreds each month.

4. No Building Automation? You’re Paying for Energy You Don’t Use

If your building doesn’t have centralized controls in place for HVAC and lighting, you're probably losing money every night.

It’s a common problem: equipment running full speed in unoccupied spaces with lights on and AC blasting even after everyone's gone home for the night. 

Add Building Controls for Smarter Energy Management

Installing a Building Management System (BMS) gives you real-time visibility into system performance. These platforms allow for smart scheduling, remote adjustments, and usage monitoring, and they typically pay for themselves within two years.

5. How Skipping Preventive HVAC Maintenance Spikes Your Energy Bills

It’s not glamorous. It’s not exciting. But routine HVAC maintenance is the simplest way to keep your system efficient and reliable.

Clogged filters, low refrigerant, bad sensors. These are tiny problems that turn into huge energy drains if ignored.

Set Up a Proactive Maintenance Plan

Get a preventive maintenance plan in place. Not just a once-a-year tune-up, but a regular, reliable partnership with a team that knows your system inside and out.

Quick Recap: 5 Reasons Your Massachusetts Commercial Energy Bills Are Rising

The Problem

What You Can Do

Grid upgrades and rate hikes

Audit your bills. Watch for peak-time usage spikes. Optimize with smart controls.

Aging HVAC systems

Schedule a system assessment. Consider retrofits or high-efficiency replacements.

Hotter summers and colder winters

Upgrade insulation and sealing. Adjust setpoints to reduce over-conditioning.

No building automation

Install a BMS or EMS. Monitor usage and stop conditioning empty space.

Skipped maintenance

Set up a proactive maintenance schedule. Fix issues before they get expensive.

What High Energy Bills Mean for Massachusetts Businesses

High energy bills are more than just an annoyance. They directly cut into your profit margins, delay upgrades, and force you to make tough budget decisions. When every kilowatt-hour costs more, that means less money for growth, hiring, or reinvestment.

The reality is simple: unless you take action, these costs will keep rising year over year. But you don’t have to tackle this challenge alone or guess at the right solution. With expert help, you can get your building’s energy use under control and start seeing predictable, lower monthly bills.

Lower Your Massachusetts Commercial Energy Bills with Harold Brothers

At Harold Brothers, we’ve spent decades helping businesses across New England reduce energy use, modernize their HVAC systems, and get control of their operating costs.

Whether it’s replacing an old rooftop unit, upgrading to a smarter control system, or tightening up your building envelope, we know what works.

Start by exploring the most energy-efficient commercial HVAC systems on the market. Learn how they work, what makes them efficient, and which one could be the right fit for your facility. 

Whether you're ready to upgrade, fine-tune your energy controls, or just need advice from an expert who understands mechanical systems inside and out, Harold Brothers is here to help. As a leader in commercial HVAC construction and service, we help businesses like yours lower energy costs with smart, proven solutions.

John Flaherty

John Flaherty is the Senior Director of Business Development at Harold Brothers Mechanical, where he plays a key role in fostering client relationships and driving strategic growth. With nearly two decades of experience holding a real estate license, John brings a deep understanding of business development and market dynamics to his role. Before joining Harold Brothers, John dedicated 15 years to education administration at Boston College High School, where he helped shape institutional advancement efforts. A proud alumnus of BC High, he continues to serve on the school's Alumni Advisory Council, strengthening connections within the community. As a contributing author for Harold Brothers Mechanical, John leverages his diverse professional background to provide insightful articles on industry trends, business strategies, and company developments.

Topics:

HVAC