Quick question about FPL demand billing. Client is questioning why their demand charges seem higher in summer months even when their actual kW demand is lower than winter. They're on Schedule GSLD-1. Is there a seasonal demand rate component I'm missing?
Florida Power & Light demand billing question
Gina, FPL has seasonal demand rates on most commercial schedules. Summer months (June through September) typically have higher demand charges per kW than winter months. Check the tariff sheet for the seasonal rate breakdown.
Janet's right about seasonal rates. Gina, I think GSLD-1 has summer demand charges around $21/kW and winter around $15/kW, but you should verify the current tariff. FPL updates rates annually.
Earl, those rates sound about right for recent years. Gina, also check if there are any fuel adjustment factors that might be higher in summer months. Those can add to the effective demand charge rate.
Brian makes a good point about fuel adjustments. FPL's cost recovery factors can definitely impact overall costs. Gina, are you looking at just the base demand charges or the total demand-related costs including all riders and adjustments?
Thanks everyone. I was only looking at base demand charges and missed the seasonal rate differential. Wayne's question about riders is also relevant - there are several cost recovery charges that do vary seasonally. Client's billing is actually correct.