Commercial and Industrial Customers
Q. How can I reduce my demand charge?
A. You can use energy efficiently. For example, if you own a manufacturing plant, don’t turn on all your major equipment at one time. By cycling on equipment, you’re not “demanding” energy at such a high level. Remember that once you hit a peak demand, you’ll be required to pay that demand for the next eleven months.
The demand charge is reflective of the effective cost for Pascoag to have at the ready your peak demand level of supply at all times, even if you never reach that peak demand again.
Q. What is the power factor on my bill?
A. The relationship between demand and energy use is called the power factor. The manufacturing plant that turned on all his equipment at one time, but then uses very little energy the rest of the day will have a poor power factor. The demand is very high compared to the overall energy use. This is the ratio of average load to peak load for a specified period. It is expressed as a percentage of potential energy available.
Pascoag, like all utilities, strive for a very efficient or high power factor because it allows the costs they must pay for peak demand (whether used or not) to be spread over a higher number of kilowatt-hours, driving down the cost per kilowatt-hour. Generally, residential use is higher in the evening hours and commercial and industrial use is higher in the daytime hours, effectively leveling out the load over the course of the day. In 2006, PUD system-wide power factor averaged 97%. A high system-wide power factor is a contributing reason that our customers enjoy competitive rates
Q. What conservation programs are available for my business?
A. Pascoag offers a wide range of programs for your business. From rebates on your new office equipment (providing that it is ENERGY STAR compliant) to a complete lighting retrofit, or new energy efficient heating/cooling equipment, Pascoag offers rebates of up to sixty percent. If you’re planning a major addition or retrofit, please call us as soon as possible in the planning process so that we can work with you to tailor a custom made program that fits your needs.
We can also offer you a free audit that will determine what areas you can improve to increase your energy efficiency and to determine a payback period on your investment.
Q. Can I get a complete history of my energy usage?
A. Absolutely! Just call our business office between 7:30 a.m. to 3:30 p.m. and speak to one of our Customer Service Representatives. They’ll be happy to help you review your electric usage and send you a history of your electric account. They will also be able to offer you some valuable ideas on energy conservation, too.
Q. Can you explain some of the items on my bill, such as Transition Charge, Transmission Charge and Standard Offer?
A. Transition costs are those costs tied to past energy contracts negotiated prior to deregulation. Before the deregulation legislation was enacted in 1996, utility companies contracted for energy, often long-term. These contracts were put in place to provide energy to all customers. With the onset of deregulation, utilities faced losing customer load to competition, yet were still obligated to pay for these existing contracts. These costs are still being paid by utilities, and the current law allows them to be recovered through rates.
Transmission costs are the costs incurred to get power from the generating stations, often over several hundred miles, to a distribution utility, such as Pascoag. Over the next few years, transmission costs are expected to increase due to introduction of the Regional Transmission Organization and ISO-NE’s commitment to increasing system reliability.
The Standard Offer item on your electric bill is the charge for Pascoag Electric to provide energy to its customers.