Frank S. from Albuquerque New Mexico. Just completed my first major audit and still shaking from excitement. Manufacturing facility paying PNM $31,000/month was classified on Schedule 6 Large General Service when they qualified for Schedule 9 Large Power Service. Demand charges alone were costing them $1,900 extra monthly. Also found power factor was 0.82 when they thought it was 0.95 - penalty charges of $340/month. Total annual savings $23,120. Client paid me $8,500 for the audit. This business works!
First audit war story - $23K annual savings at manufacturing plant
Glen P. Boise ID here. Congrats Frank! That's a home run for first audit. Power factor issues are everywhere but most businesses have no idea. Idaho Power customers often running 0.80-0.85 and paying penalties. Quick question - how long did the rate schedule change take with PNM?
Gary W. Tacoma WA checking in. Amazing find Frank! PSE territory has similar issues with manufacturing clients. What diagnostic tools did you use to verify the power factor? I've been relying on meter data but considering investing in a power quality analyzer.
Outstanding work Frank S.! That's exactly the type of comprehensive analysis that builds long-term client relationships. Manufacturing facilities are goldmines because they often have complex rate structures and haven't been reviewed in years. Power factor corrections through capacitor banks usually pay for themselves in 8-12 months. Did you recommend any demand management strategies for their peak usage periods?
Glen P. - PNM took 6 weeks to process the rate schedule change but it was retroactive 3 months so client got nice refund check. Gary W. - I used combination of their existing meter data plus a Fluke 438 analyzer I borrowed from electrician buddy. Randy - yes recommended load shedding during peak hours 2-7pm. They can shut down non-essential equipment and save another $600/month in demand charges.
Wanda R. Charleston WV. AEP territory. Frank this gives me hope! I've been struggling to find my first big win. Most businesses here are smaller - retail and restaurants. Any advice for finding larger commercial prospects? Seems like manufacturing is where the real money is.
Ian P. Riverside CA here. SCE territory. Frank that power factor catch is brilliant. Most facility managers don't even know what power factor means. I've started asking about it in initial calls and you can hear the confusion in their voice. Easy way to establish credibility when you explain it clearly.
Wanda R. - check your local economic development authority for lists of manufacturers. Also drive around industrial areas and note high usage businesses - look for large transformers and multiple meters. Ian P. exactly right about power factor education. I bring a simple chart showing how low power factor costs money. Visual aids help facility managers understand the technical stuff.
Norm R. Des Moines IA. MidAmerican Energy territory. Frank did you do any follow-up services for this client? Seems like manufacturers would need ongoing monitoring to maintain savings. Wondering if you set up any monthly retainer arrangements.
Norm R. great question! Set up quarterly reviews at $500 each to monitor demand patterns and rate changes. Already caught a billing error in December that would have cost them $280/month. Ongoing relationships are where you build sustainable income in this business.