Author: Henry Chen Publish Time: 2026-01-14 Origin: Jinan Cassman Machinery Co., Ltd.
For every brewery owner, the dream is to make exceptional beer. But for the business to survive, the numbers must make sense. When planning a new facility or an expansion, the choice of heating technology—Electric, Steam, or Direct Fire—is one of the most significant financial decisions you will make.
It is not just about the price of the tank; it is about the Total Cost of Ownership (TCO).
In this financial guide, we move beyond the brew deck and into the spreadsheet. We will analyze the Return on Investment (ROI) of Cassman’s Electric Brewhouse Systems, helping you understand why cutting out the boiler—and the middleman—might be your most profitable move.
To calculate ROI, we must first distinguish between Upfront Costs (CapEx) and Ongoing Costs (OpEx).
This is where the Electric Brewhouse shines, especially for breweries under 15 BBL.
Infrastructure: A steam system requires a boiler ($15k-$30k), steam piping ($10k+), condensation return lines, and a dedicated, fire-rated boiler room. An electric system requires... a wire.
Venting: Direct-fire gas systems need expensive flue stacks and makeup air units to handle carbon monoxide. Electric systems require only standard steam ventilation.
Factory Direct Savings: By sourcing directly from Cassman, you eliminate the 20-30% markup charged by local importers. This immediately lowers your initial investment threshold, allowing you to reach the break-even point faster.
Energy Transfer: As discussed in previous articles, electric heating is 99% efficient. You are not paying to heat the air around your kettle; you are only paying to heat the wort.
Maintenance: Steam boilers require annual state inspections, chemical water treatment, and expensive trap replacements. Electric elements require simple cleaning and occasional low-cost replacement.
To determine if an electric system is worth the investment, use this simplified ROI framework.
The Formula:
ROI=(Net Profit from Brewing−Total Cost of InvestmentTotal Cost of Investment)/Total Cost of Investment×100%
Cost=Equipment Price (Factory Direct)+Shipping+Electrical Upgrades+Installation Labor
Compare this against the cost of a Steam System (which includes Boiler + Piping + Plumber Labor).
Compare the estimated energy and maintenance costs.
Electric: (kWh per brew x Cost per kWh) + $ Maintenance (Year 1)
Steam: (Therms per brew x Cost per Therm / 0.60 efficiency factor) + $2,000 Boiler Maintenance
If the Electric system saves you $30,000 in upfront infrastructure costs but costs $2 more per batch in energy, how many batches until the steam system "catches up"?
Hint: For most breweries producing under 2,000 BBL per year, the steam system often never catches up due to the high initial CapEx and ongoing maintenance.
Not every brewery is the same. Here are the variables that shift the needle.
1 BBL - 10 BBL: Electric is almost always the clear winner financially. The cost of a boiler is too high relative to the production volume.
15 BBL+: The lines blur. If your local electricity rates are high, steam might become cheaper operationally in the long run, despite the high startup cost.
Check your "Demand Charges." Some industrial zones offer cheap electricity, making Cassman Electric Brewhouses incredibly cheap to run. If you are in an area with expensive power but cheap natural gas, the calculation requires more care.
Cassman tanks are built with 304 Stainless Steel and high-quality welds. A well-maintained electric brewhouse can last 20+ years. Amortizing the cost over two decades makes the annual cost of ownership negligible.
Cost Category | Electric System (Factory Direct) | Steam System (Traditional) |
Equipment Cost | $$ (Low) | $$$ (Medium) |
Boiler & Piping | $0 | $$$$ (High) |
Installation Time | 3-5 Days | 2-3 Weeks |
Permitting Fees | Low | High (Boiler Safety) |
Maintenance/Year | Low (<$500) | High (>$2,000) |
Total 1st Year Cost | Winner | Significantly Higher |
When you look at the bottom line, the Electric Brewhouse offers a compelling financial argument for the small-to-medium craft brewery. It minimizes risk by lowering the barrier to entry (CapEx) and simplifying operations (OpEx).
By choosing Cassman Factory Direct, you further optimize this equation. You get professional-grade technology without the "middleman tax," ensuring your ROI is positive from the very first pint poured.
Need precise numbers for your investors? Request a Factory Direct Quote today. We can provide detailed power requirements and pricing to help you finalize your budget.
Q: Will upgrading my electrical panel destroy my ROI?
A: It depends on your current building. However, in 90% of cases, upgrading an electrical panel is still significantly cheaper than building a fire-rated boiler room, installing gas lines, and running steam piping throughout a facility.
Q: How long do electric heating elements last?
A: With proper cleaning and use (never dry firing), high-quality elements like those used by Cassman can last for years. Replacing an element is a cheap maintenance item ($50-$100) compared to repairing a steam boiler.
Q: Does "Factory Direct" mean I have to handle shipping logistics?
A: Not necessarily. Cassman has extensive experience shipping globally. We can arrange shipping to your nearest port or even to your door (DDP), making the process as simple as buying locally, but with better pricing.
After 20 years and 500+ projects, my greatest joy still comes from seeing our partners succeed. It’s walking into a brewpub we helped build and seeing every table full of people laughing over pints. It’s seeing a bottle of wine we contributed to on a store shelf. It’s getting an email from a distiller saying, “Our first batch of whiskey sold out in a week!”
Those moments remind me why I do this. Because building a beverage business isn’t just about equipment—it’s about building something that lasts, something that brings people together.
If you have a vision for a brewery, winery, or distillery—even if it’s just a sketch on a napkin—that’s the perfect place to start. Let’s have a conversation. Tell us about your dream, your space, and your goals. We’ll bring the expertise, the quality equipment, and the commitment to see it through.
Let’s turn that napkin sketch into your first pour.
Ready to start? Contact our team today:
Email: inquiry@cassmanbrew.com
Phone/WhatsApp/WeChat: +86 18560016154
Website: www.cassmanmachine.com
I can’t wait to hear from you.
Cheers,
Henry Chen
CEO, Jinan Cassman Machinery Co., Ltd.
