A new blow for the hospitality sector. With gas and oil prices rising due to the energy crisis in Europe, what does the future look like for the industry? After dealing with the problems caused by COVID-19 such as restrictions, inflation and staffing crises, restaurant owners must once again look for the most resourceful ways to adapt to the situation and ensure that business continues as usual.
The cost of energy is a growing concern for consumers, restaurateurs and governments across Europe, as it directly impacts transport prices and bills. This year, Brent crude –the global benchmark for oil prices– has risen by more than 70% compared to 2021, reaching prices of more than $123 a barrel. Likewise, the EU has already announced sanctioning measures against Russia that will come into force at the end of 2022, and which include a purchase embargo of two thirds of the gas imported from that country.
How to deal with the energy crisis in the catering industry?
Many restaurants have been forced to increase menu prices, trying to keep the increase as low as possible for regular customers, while others have not yet decided to take this step.
To cope with rising energy prices, there are a number of measures that restaurant owners can take:
- Reduce menu ingredients: review menu items to decrease their number and improve the efficiency of the kitchen. This can be done by reducing the number of meals, which may also result in better staff planning needed to prepare them. On the other hand, it is important to calculate the costs of making each recipe: how much each ingredient costs and at what price it is sold. This information allows changes to be made to the ingredients, opting for foods that maintain quality but at a higher margin.
- Monitor the refrigeration equipment operation: this way, the chef and/or kitchen staff can ensure that the equipment is working at the right temperature, not to increase energy costs. The latest models of refrigerated cabinets and refrigerated tables are already equipped with remote control via Wi-Fi to facilitate their monitoring.
- Go for local suppliers and reduce the number of deliveries: it is time to choose local suppliers and even go a step further by coordinating deliveries so that the number of daily transport is reduced.
- Use renewable energy sources, such as solar, hydraulic, wind or biogas. Depending on the location of the restaurant and the available resources, solar panels can be installed or biogas could be produced from organic waste. These forms of energy are not only more economical, but also cleaner.
- Controlling the temperature: air conditioning equipment is one of the elements that can increase the electricity bill the most. In fact, several European governments have implemented limitations on heating and cooling temperatures with the aim of reducing overall consumption.
- Sensor lighting: light is a key factor in creating a pleasant experience in the restaurant, so the implementation of sensors helps to control its activation depending on whether there are people in the room. In this way, they will only be used when it is really necessary.
- Train the team: all restaurant staff must be aware of and committed to the measures implemented to reduce costs and be more efficient. They are the ones who use the resources (ingredients, refrigeration equipment, lighting, etc.) on a daily basis and their involvement is essential. In addition, they can also offer other ideas for improvement or interesting alternatives.
The implementation of some or all of these measures can make a big difference in many restaurants, hotels and/or bars to alleviate the effects of the energy crisis, while allowing further progress towards more sustainable business models.
