How Much Does A Power Outage Cost?
According to some estimates, an electricity outage for just one hour will cost $100,000 on average.
If you are still without power, here are some tips from ready.gov on what you should be doing now.
Be Safe DURING
- Keep freezers and refrigerators closed. The refrigerator will keep food cold for about four hours. A full freezer will keep the temperature for about 48 hours.
- Use coolers with ice if necessary. Monitor temperatures with a thermometer.
- Maintain food supplies that do not require refrigeration.
- Avoid carbon monoxide poisoning. Generators, camp stoves, or charcoal grills should always be used outdoors and at least 20 feet away from windows.
- Never use a gas stovetop or oven to heat your home.
- Check on your neighbors. Older adults and young children are especially vulnerable to extreme temperatures.
- Go to a community location with power if heat or cold is extreme.
- Turn off or disconnect appliances, equipment, or electronics. Power may return with momentary “surges” or “spikes” that can cause damage.
Be Safe AFTER
- When in doubt, throw it out! Throw away any food that has been exposed to temperatures 40 degrees or higher for two hours or more, or that has an unusual odor, color, or texture.
- If the power is out for more than a day, discard any medication that should be refrigerated, unless the drug’s label says otherwise. If a life depends on the refrigerated drugs, consult a doctor or pharmacist and use medicine only until a new supply is available.
How much does just one hour without power cost your business?
Use the following formulas provided by the Data Foundry to get a ballpark estimate for labor costs and revenue loss per hour of downtime:
Productivity cost = E x % x C x H
E = number of employees affected
% = percentage they are affected
C = average cost of employees per hour
H = number of downtime hours
Revenue loss = (GR/TH) x I x H
GR = gross annual revenue
TH = total annual business hours
% = percentage impact
H = hours of downtime