TOU demand — client running equipment at the wrong time of day

Started by Jim W. — 14 years ago — 4 views
Jim from Scottsdale. Client on a TOU rate with separate peak and off-peak demand charges. Their largest compressors start at 7 AM on a fixed timer. Peak period begins at 8 AM. The compressors are still ramping when peak starts and create the highest demand reading of the day right at peak. Moving the timer to 5 AM would cut their peak demand charge by nearly 40 percent. Do I present this as a billing error or an optimization?
Mike D. I present it as an operational finding separate from billing errors. The billing was correct. The operational scheduling is the opportunity.
Walt. The scheduling finding demonstrates unique expertise. Any accountant can find a billing math error. Knowing that a two-hour timer shift saves 40 percent on demand charges requires deep knowledge of TOU demand calculations.
Terry. Also check whether other schedulable loads — HVAC pre-cooling, refrigeration defrost cycles — could be shifted off-peak. The compressor is obvious but there may be more.
Sarah from Phoenix. Good reminder. On TOU accounts I now do a full load scheduling analysis as part of every engagement. Equipment schedules are often set at installation and never reconsidered.