By Jeff Gerwig, National Director, Engineering and Sustainability | US

Artificial intelligence transforming productivity across industries is also reshaping our energy footprint. Every AI-generated answer, image or video created draws on vast computing resources that collectively strain power grids.

Ask ChatGPT and it will tell you that what began as incremental demand has become a structural shift: AI-driven growth alone could add tens of gigawatts of new electricity load in the United States over the next decade. The same technology powering the future of efficiency is, paradoxically, testing the limits of the systems that sustain it and driving up our energy bills.

Data centers that consume as much electricity as cities are already operating across the country, with hundreds more expected to come online soon. This surge in demand coincides with several compounding pressures:

• The need to modernize aging energy infrastructure across much of the country
• Higher costs to build and maintain power grids, batteries, and other inputs due to tariffs
• Policy uncertainty surrounding the rollback of the Green New Deal-related funding which complicates planning to build out capacity.  

Together, these factors have created a perfect storm for U.S. energy prices. For the foreseeable future, energy bills are likely to keep rising – though the impact will vary by region and service providers. 

Where does this leave commercial property owners and managers?   

If you've read this far, you likely already employ many of the tried-and-true strategies to manage energy costs. Fortunately, the same big data contributing to higher consumption is also helping us find smarter ways to control it.

Established Strategies

LED Lighting Upgrades
LEDs cut energy use by up to 75 percent compared to florescent bulbs and last two to four times longer. Payback is typically quick – making this really a no-brainer – yet roughly one-quarter of U.S. commercial properties still haven't made the switch.

Smart Metering
Many utilities will replace older meters with advanced smart meters at no cost when requested. These meters pinpoint where losses occur and provide real-time visibility into both electricity and water use.

Retro-Commissioning
Tuning up existing HVAC and mechanical systems can save 10–20 percent in HVAC energy use. Colliers offers in-house services to assess, diagnose, and calibrate mechanical systems, program smarter control sequences, and optimize performance.

Building Automation and Management
Building Automation Systems (BAS) and Energy Management Systems (EMS) help buildings run more efficiently — using less energy, reducing waste, and preventing costly maintenance issues.

Together, they automate, monitor and optimize heating, cooling, lighting, and ventilation. These systems also provide remote access for adjustments and oversight across portfolios.

Demand Response (DR) technology: By connecting to a building's EMS and a utility's demand-response program, they can automatically adjust mechanical operations – usually around 5 pm or whenever the DR receives a signal from the utility that demand is peaking – to avoid peak-time surcharges. This can significantly reduce overall energy use by 15–25 percent.

Onsite renewables
Solar and battery storage help offset utility demand and provide long-term stability. Depending on system size, payback is often three to eight years. Note: Under the One Big Beautiful Bill Act, federal tax incentives for solar and wind expire for facilities placed in service after Dec. 31, 2027, unless construction begins by July 4, 2026.

AI-driven energy procurement
In deregulated markets, AI now enables a better alternative to traditional brokers. Colliers partners with Zentility, an AI-powered energy automation platform that analyzes market data and secures the most competitive electricity and natural gas rates. With no upfront costs and “no win, no fee” pricing, Zentility clients typically pay only a fraction of traditional brokerage fees.

AI-enhanced building analytics
Colliers also partners with Btune, a building-optimization platform that integrates with existing automation systems to monitor every mechanical component in real time. Using predictive analytics, Btune identifies inefficiencies, anticipates equipment failures, and fine-tunes performance. Clients pay only when savings are realized—Btune guarantees results or reimburses fees, operating on a flexible 30-day term without cause.

Variable Frequency Drives (VFDs)
Conventional fan and pump motors run at full speed, wasting power. VFDs modulate motor speed so systems run only as fast as needed—cutting energy use by up to 50 percent and extending equipment life.

Demand-controlled ventilation (DCV)
For buildings with fresh-air intakes, DCV uses sensors to measure parts per million of CO2 and adjust ventilation rates precisely. By conditioning only the necessary amount of fresh air, it reduces heating and cooling loads—similar to not leaving all the windows open while running a home's HVAC.The Bigger Picture

Smart systems, predictive analytics, and AI-enabled tools are changing the economics of energy use in commercial real estate. What was once reactive—waiting for the utility bill to arrive—is becoming predictive and proactive. It is now possible to anticipate when and where energy spikes will occur, adjust automatically, and validate performance with data.

At Colliers, we see these technologies as integral to portfolio resilience. Buildings that leverage data and automation not only save energy but also improve tenant comfort, support asset management goals, reduce maintenance costs, and strengthen sustainability performance.

AI and Energy Costs: Your Questions Answered

Q: How is AI impacting energy costs in commercial buildings?
A: AI increases energy demand due to data center usage, but it also enables smarter building operations that reduce waste and lower utility bills.

Q: What are the best ways to reduce energy use in commercial properties?
A: LED upgrades, smart metering, retro-commissioning, and building automation systems are proven strategies. Colliers also offers in-house optimization services.

Q: Can AI help with energy procurement?
A: Yes. AI platforms like Zentility analyze market data to secure competitive rates, often at lower costs than traditional brokers.

Q: What is demand response technology?
A: It allows buildings to automatically adjust energy use during peak times, avoiding surcharges and reducing overall consumption.

Q: How does Colliers support energy efficiency?
A: Through partnerships with AI platforms like Btune, onsite renewables, and tailored building management strategies that align with sustainability goals.