Rate class changes after equipment upgrades

Started by Ed T. — 15 years ago — 3 views
Paula from Denver. Client added a second production line last year — new motors, larger compressor, significantly higher connected load. Their utility bill went up as expected but nobody reviewed whether the rate class was still appropriate. Found they had crossed the threshold for an industrial interruptible rate saving about $2,100 per month going forward. Has anyone else found rate class opportunities triggered by equipment upgrades?
Connie from Corpus Christi. Yes, this is one of my favorite triggers to watch for. Any significant capital equipment purchase is a reason to revisit rate classification. The utility almost never initiates that conversation.
Vince from Hartford. I specifically ask clients during intake: have you added or removed major equipment in the last three years? That question has surfaced rate class issues on at least a dozen engagements.
Kevin from Louisville. The reverse is also true. Clients who downsize or remove equipment sometimes stay on a higher-demand rate class they no longer qualify for. Either direction can be wrong.
Good point Kevin. I have seen both in the same client — they upgraded production equipment but also decommissioned an old chiller. The net demand change was smaller than expected and they qualified for a completely different schedule than either the old or new load would have suggested independently.