Charlotte manufacturing tenant has backup generators and is being charged Duke Energy standby service fees through their lease. Schedule is LGS with standby rider. Standby charge is $4.82/kW of generator capacity. They have 500 kW backup generators so that's $2,410/month. Seems excessive - anyone know if Duke's standby rates are reasonable?
Duke Energy Carolinas - standby service charges in manufacturing lease
Researched Duke's standby tariffs - the $4.82/kW rate is correct for customers with generators over 100 kW. It's designed to recover fixed distribution costs since the customer can disconnect from the grid during outages. Still expensive but legitimate.