Just got done reviewing Oncor's latest rate filing here in Texas and wow, there are some serious opportunities. They're implementing a new demand charge structure under Schedule GS-2 that's going to catch a lot of commercial customers off guard. The peak demand window shifted from 12-6pm to 1-7pm and the rate went from $8.95/kW to $12.40/kW. I've already identified three clients in Arlington who are going to see their bills jump 20-30% if they don't adjust their load profiles. Anyone else seeing similar changes in your territories?
Oncor's 2025 rate increase - finding the audit goldmine
Lisa, that's exactly what I'm seeing with Oncor down here in Dallas too. The devil is in the details - they buried the peak window change on page 47 of a 200+ page filing. Most customers have no idea this is coming. I found one manufacturing client who's going to get hit with an extra $4,200/month just from the demand charge alone. The good news is there's a 6-month grace period where they'll calculate both ways and bill the lower amount, giving us time to optimize their operations.
Same story different utility here in San Antonio. CPS Energy just filed their 2025 rates and they're doing something sneaky with their Power Cost Recovery Factor. It's jumping from 2.1 cents/kWh to 3.8 cents/kWh but they're calling it a "fuel adjustment" to make it sound temporary. I've got spreadsheets showing this will add $180,000 annually for one of my hospital clients. The key is getting customers to understand these aren't just temporary adjustments anymore.
Great catches everyone. What I'm seeing across multiple territories is utilities using these rate increases to restructure their entire tariff schedules. MLGW here in Memphis is doing something similar - they're splitting their General Service schedule into three tiers instead of two. The middle tier (50-500kW) is getting absolutely hammered with a new "grid modernization charge" of $1.85/kW. The audit opportunities are massive because most customers don't even know which schedule they're on, let alone how the changes affect them.
Randy makes a good point about the tariff restructuring. LG&E in Louisville is doing the same thing - they're eliminating their old Schedule GS and forcing everyone onto either SGS-1 or SGS-2. The crossover point moved from 25kW to 40kW demand, which means a bunch of small commercial customers are getting bumped up to the higher rate class. I found one strip mall owner who's going from paying 9.2 cents/kWh to 11.7 cents/kWh just because his peak hit 41kW one time last summer. Classic audit material right there.
This is why I love this business. Dominion Energy here in Virginia just approved a $2.3 billion rate increase over three years, and they're implementing it through a dozen different charges and adjustments. There's a new "storm recovery surcharge" that adds $3.20/month to residential bills and scales up for commercial. Plus they're changing how they calculate the demand ratchet - it used to be 75% of the highest 12-month demand, now it's 80% of the highest 6-month demand. Small change, big impact for seasonal businesses.
Avista up here in Spokane is pulling a similar move with their demand ratchet calculations. They're also adding a new "transmission access charge" that varies by time of use - $4.50/kW during peak hours, $2.20/kW off-peak. The problem is they define peak hours differently for summer (1-7pm) versus winter (6-10am and 5-9pm). I've got spreadsheets showing this could add $8,000-$15,000 annually for mid-size commercial customers who don't adjust their operations. It's like they're designing these rate structures to confuse people.
Larry hit the nail on the head - it's absolutely intentional confusion. Duke Energy here in Charlotte just rolled out their new "Smart Saver" time-of-use rates that are supposedly optional, but they're automatically enrolling large commercial customers unless they opt out within 30 days. The peak rate is $0.18/kWh from 2-7pm weekdays, versus $0.09/kWh off-peak. Most businesses have no idea they're getting moved to this rate schedule. I've already signed five new audit clients just from explaining how this impacts their operations. The opportunities are endless if you know where to look.