Brooklyn Businesses Embrace DIY Battery Network to Slash Energy Costs
In the bustling kitchen of Black Seed Bagels in northern Brooklyn, a commercial oven named the Baconator cooks thousands of pounds of meat weekly. This industrial appliance is now connected to a battery the size of a carry-on suitcase, part of an innovative pilot program transforming how small businesses manage electricity consumption.
The Battery Solution for Peak Demand Charges
Noah Bernamoff, co-owner of Black Seed Bagels, explains that businesses like his often face substantial demand charges on utility bills. These fees reflect the maximum power drawn during any 15-minute period each month and can constitute up to half of total electricity costs. By using batteries during peak times, Black Seed aims to reduce its reliance on the grid and lower monthly fees from utility provider Con Edison.
The pilot program, run by New York-based retail energy provider David Energy, supplies batteries free of charge to participating businesses. The startup's software platform controls when appliances draw on battery power, optimizing energy use throughout the day.
Expanding Battery Applications Across Industries
David Energy has installed batteries at various Brooklyn businesses beyond bagel shops:
- Fast-food restaurants
- A day spa
- A dog grooming store (where batteries cushion power draw from fur-drying machines)
As of mid-January, the company has agreements to place plug-in batteries at approximately 50 locations, totaling more than 500 kilowatt-hours of energy storage capacity. James McGinniss, David Energy's CEO, believes this "do-it-yourself battery" approach has significant potential to help small businesses combat rising electricity costs both in New York and potentially nationwide.
The Financial Mechanics Behind Free Batteries
How does David Energy recoup costs while providing batteries for free? The business model operates on multiple levels:
- Customer retention: Every kilowatt shaved from peak demand can cut about $50 from monthly bills, making David Energy's services attractive to cost-conscious businesses
- Demand-response programs: The company can earn revenue by participating in programs that pay for reduced power use during high-stress grid periods
- Wholesale market advantages: As a retail energy provider, David Energy can optimize its energy purchases against retail commitments
McGinniss notes that demand charges typically represent 15% to 50% of commercial customers' monthly bills in New York City. By using stored battery power for energy-intensive appliances, businesses can significantly reduce these peaks.
Broader Implications for Clean Energy Transition
The battery pilot aligns with David Energy's long-term goal to "run the grid 24/7 on clean energy." As solar and battery technologies become increasingly affordable, providing customers access to these solutions has become a business priority. McGinniss emphasizes that "people like cheap energy," and batteries represent a practical pathway toward both cost savings and environmental benefits.
Bernamoff sees even greater potential as New York policymakers push to electrify buildings. If Black Seed must transition from fossil gas appliances to electrified versions, larger-scale battery systems could help manage increased electricity bills while reducing strain on local grids.
"The industrial battery side of it all could be really interesting," Bernamoff notes. "To the extent that we'd be able to reduce peak power at the service level, instead of piece by piece, now we're really talking. Because then every outlet, every lightbulb, is being better managed and reduced."
Global Context of DIY Energy Solutions
David Energy's pilot builds on growing worldwide interest in DIY energy technologies. McGinniss cites balcony solar systems that plug into standard outlets—popular in Germany but currently restricted under most U.S. electrical codes. Meanwhile, portable batteries have become increasingly affordable options for households seeking backup power during outages without installing fossil fuel generators.
For Black Seed Bagels, even modest savings could prove significant when multiplied across their 10 New York City locations. Saving $80 monthly at each shop could amount to nearly $10,000 annually in avoided utility costs—meaningful savings in what Bernamoff describes as "the game of nickels and dimes."
This Brooklyn battery initiative represents a practical, scalable approach to energy management that benefits businesses financially while supporting broader clean energy transitions. As battery technology continues to advance and costs decline, such DIY energy solutions may become increasingly accessible to small businesses nationwide.