TECO TOU billing - incorrect demand period allocation

Started by Beth A. — 5 years ago — 2 views
Tampa Electric (TECO) TOU issue. Large commercial account on Schedule GSD-TOU. The demand charges are being allocated based on total kW demand rather than peak period demand. Tariff says demand billing should be based on highest 15-minute interval during peak hours only. This is a $2,000/month difference.
Beth - that's a significant error if you're right. TECO's GSD-TOU should indeed use peak period demand for billing. Get the interval data and highlight their highest demand during off-peak vs peak periods. Should be an easy fix.
I've seen this with other Florida utilities. Sometimes the billing system uses coincident demand instead of peak period demand. TECO is usually responsive to billing corrections when you show them the tariff language.
Kevin you were spot on. TECO acknowledged they were using coincident demand instead of peak period demand. 22 months of corrections totaled $41,800. They've also fixed the billing system going forward.
Great outcome Beth! TOU demand charge errors can be some of the biggest dollar findings in commercial audits. Always worth checking the demand allocation methodology.