I'm reviewing NPPD's Rate Schedule GS-2 for a manufacturing client in Omaha and can't figure out why their energy charges seem to increase in the second block instead of declining. The tariff shows 0.0847/kWh for first 1000 kWh then 0.0923/kWh for next 9000 kWh. Is this an inclining block or am I missing something? - Tina R.
Nebraska Public Power District Rate Schedule GS-2 Declining Block Mystery
Tina, I think you're looking at the summer rates. NPPD does have some weird seasonal variations where they flip the block structure during peak months. Check if there's a separate winter schedule that actually declines. I've seen this with Omaha Public Power too. - Nancy H.
Good catch Nancy. NPPD and several other Nebraska utilities use inverted summer blocks to discourage high usage during peak cooling season. Tina, look for the "Seasonal Energy Charges" section - winter months typically show true declining blocks while May through September often invert. Also check for any demand ratchet clauses that might be affecting the calculation. - Randy Dawson
Kansas has similar seasonal inversions. Westar Energy does this on their LGS schedule. The trick is finding where they define peak season - some utilities count April in summer rates, others don't start until June. Always check the definitions section first. - Floyd H.
Found it! There was a separate "Cooling Season Rates" addendum buried on page 47 of the tariff book. Winter blocks do decline normally but summer inverts exactly like Randy said. The effective dates show cooling season runs May 1 through October 15. Thanks everyone! - Tina R.