PSE&G TOU Rate Variants Not Applied - $23K Recovery

Started by Deb M. — 1 year ago — 1 views
Deb M. from Providence RI. Just completed a rate classification audit for a New Jersey manufacturing client served by PSE&G. They were on standard Schedule TOU-GSS but never got enrolled in the TOU-GSS-LOW variant despite qualifying with their load factor. Client has consistent overnight production with 78% off-peak usage but was paying standard TOU rates for 15 months. Recovered $23,400 in overcharges. PSE&G never mentioned the variant option during initial service setup.
Deb, excellent catch on the TOU variant! PSE&G has several TOU subcategories that aren't well-publicized and account reps often don't suggest them proactively. The TOU-GSS-LOW is specifically designed for high off-peak usage customers like your client. Did they require any minimum commitment period for the variant rate or was it immediately applicable? Randy D. - I've found PSE&G generally cooperative on retroactive TOU corrections once properly documented.
Randy, no minimum commitment required for TOU-GSS-LOW. The qualification is purely based on load factor and time-of-use patterns. PSE&G processed it as a billing error correction rather than a voluntary rate change. Took about 8 weeks total including their internal review process. The variant rate saved $1,560 monthly average. Key was showing consistent off-peak usage above 75% threshold. Deb M.
Franklin T. from Carson City NV. We don't have PSE&G here but NV Energy has similar TOU variant issues. Many utilities have these specialized rate options buried in their tariffs that customer service never mentions. I've started requesting full rate schedule comparisons for all new commercial accounts. Deb, what documentation did PSE&G require for the variant qualification?
Franklin, PSE&G wanted 12 months of interval data showing the load pattern, plus a letter from the client explaining their production schedule. They also required verification that the off-peak usage pattern was consistent for business operations, not just seasonal. The key metric was maintaining 75% or higher off-peak consumption ratio. Pretty straightforward once you know their requirements. Deb M.
Kevin O. in Tampa FL. This is really helpful information. We have similar TOU variants with Duke Energy Florida that get overlooked. Schedule TOU-GSD has subcategories TOU-GSD-A and TOU-GSD-B based on load characteristics but the utility rarely explains the differences. Going to start auditing all TOU accounts for variant opportunities. Great case study Deb!
Jan K. from Spokane WA. Deb, did PSE&G apply the TOU-GSS-LOW rate retroactively for the full 15 months or was there a limit? Avista here in Washington typically caps retroactive rate changes at 12 months even when it's their error. Also curious about any demand charge differences between the standard and variant TOU schedules.
Jan, got the full 15 months back since it was classified as utility error for not offering the appropriate rate initially. Demand charges were identical between TOU-GSS and TOU-GSS-LOW but the energy charges had better off-peak differentials in the variant. Off-peak energy was $0.024 lower per kWh in TOU-GSS-LOW. That's where the big savings came from with their usage pattern. Deb M.
Reggie H. from Memphis TN. PSE&G territory question - do they have seasonal variants of their TOU schedules too? Some utilities offer different TOU structures for summer vs winter months. Also wondering if the TOU-GSS-LOW variant has any power factor requirements that might affect qualification. Thanks for sharing the specifics on this recovery.
Reggie, PSE&G does have seasonal TOU variations but they're automatic adjustments within each rate schedule, not separate variant qualifications. No specific power factor requirements for TOU-GSS-LOW beyond their standard tariff minimums. The main qualifier is the sustained off-peak usage pattern above 75%. Pretty straightforward once you understand their classification criteria. Deb M.
Dan K. in Green Bay WI. This thread convinced me to do a full TOU audit for all our commercial accounts. Wisconsin Public Service has similar variant structures that probably get missed. Deb, do you now do regular rate audits for PSE&G accounts or was this a one-time discovery? Wondering about the best frequency for checking rate optimization opportunities.
Dan, I now audit all PSE&G accounts annually and any account with changing usage patterns gets reviewed quarterly. The TOU variants can change qualification status as business operations evolve. Set up spreadsheet templates to quickly analyze interval data against different rate options. Worth the time investment given potential savings. This case convinced me to be more proactive. Deb M.