I'm reviewing Georgia Power's Schedule GS-2 tariff for a manufacturing client in Columbus and getting confused on the demand charge tiers. The tariff shows $11.85 for first 20 kW then $8.42 for excess, but there's also a coincident peak rider that seems to apply differently. Has anyone worked through this rate schedule recently? Dave C.
Georgia Power Schedule GS-2 demand charges - help interpreting
Dave - I've been through GS-2 many times here in Atlanta. That coincident peak rider is tricky because it's based on your contribution to the system peak hour, not your individual peak. You need to look at the CP factor they assign your account. Are you seeing that on the bills? Greg L.
Good question Dave. Georgia Power's GS-2 has both individual demand charges and coincident peak charges that stack. The individual demand is straightforward - $11.85 for first 20 kW of your monthly peak, then $8.42 for each kW above 20. The coincident peak rider adds another layer based on when your peak occurs relative to system peak. Check Section 4.2 of the current tariff for the CP calculation methodology. Randy D.
I had this same confusion with a client in Augusta last year. The key is understanding that you pay BOTH charges - the regular demand charge for your individual peak AND the coincident peak charge. It's not either/or, it's additive. Made a huge difference in our load management strategy. Janice L.
Thanks everyone. So if my client hits 45 kW peak individually, that's (20 × $11.85) + (25 × $8.42) = $447.50. Then the coincident peak charge gets added on top based on their CP factor? The bill shows 0.78 CP factor this month. Dave C.
Exactly right Dave. With a 0.78 CP factor on 45 kW, you'd have about 35 kW of coincident peak demand (45 × 0.78). That gets charged at the CP rate which I think is around $4.20/kW right now. Double-check the current tariff though as CP rates change seasonally. Greg L.
Greg's math is correct. The current CP rate for GS-2 is $4.18/kW through September, then drops to $3.95/kW for winter months. Dave, make sure you're looking at the effective tariff dated June 2024 - there were some rate adjustments that took effect over the summer. You can find it on Georgia PSC docket 45912. Randy D.
Perfect, this all makes sense now. So total demand charges would be $447.50 + (35 × $4.18) = $593.80. No wonder the client was questioning the bills! I was only calculating the individual demand portion. Thanks for the education. Dave C.