Does MDU (Montana-Dakota Utilities) have any power factor penalty exemptions for agricultural customers? Working with a large dairy operation that's getting hit hard with penalties from grain handling equipment.
MDU power factor exemption for farms?
Not that I'm aware of. North Dakota PSC doesn't typically allow agricultural exemptions for PF penalties. The equipment causing the problem is still creating inefficiencies regardless of the business type.
That's what I figured. Dairy is looking at $35K for correction equipment. With $300/month penalties, payback is about 10 years - longer than they'd like.
Client decided to install smaller system for $18K targeting just the grain handling motors. Should reduce penalties by about 60% with 5-year payback.