Plant Electric Bill Calculation

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Energy Guy

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Rate Schedule info:
$12.00 /Kw of Billing Demand
$.04 per KWH for energy consumption
Allowed KVAR's (with no charge)=70% of Billed Demand
Excess KVAR's billed @ $.75/KVAR
Ratch Clause - 90% of the highest values recorded during the month of June, July and August

Month of October:
Actual Demand=1,000 kw
Actual KVAR = 790 KVAR
Actual Consumption = 300,000kwh
Previous months KWH - June 1150kw / July 1350kw / Aug 1150kwd / Sept 11kw

What is electric bill for October?? Show how we got the numbers.
 
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This looks like a homework assignment from some type of professional review class. We would be glad to help. But we would generally prefer that you try first. Show us what you have done, and how you have tried to get the answer, and where you might be having trouble. Then we can give you a hand.
 
Energy Guy said:
Rate Schedule info:
$12.00 /Kw of Billing Demand
$.04 per KWH for energy consumption
Allowed KVAR's (with no charge)=70% of Billed Demand
Excess KVAR's billed @ $.75/KVAR
Ratch Clause - 90% of the highest values recorded during the month of June, July and August

Month of October:
Actual Demand=1,000 kw
Actual KVAR = 790 KVAR
Actual Consumption = 300,000kwh
Previous months KWH - June 1150kw / July 1350kw / Aug 1150kwd / Sept 11kw
Click to expand...

The demand for October is not used due to the ratchet clause.
Billing Demand is 90% of July 1350 or 0.90 x 1350 = 1215 kw
Allowed KVARS = 70% of billed demand = 0.70 x 1215 kw = 850
Excess KVARS = 850 - 790 = N/A no charge
Billing = $12 x 1215 kw = $ 14580 demand bill
kwh bill = 0.04 x 300,000 = 12000 kwh bill
total = $26580.
EG
Post what you think should be the correct answer. You information is a little strange. You are showing a KW demand and KVAR. Usually the utility will bill KVA not kw. Using your figures the KVA = 1274 and a PF = 0.78. Low by
most standards. Need to Install some caps. However if you are billed on the KW demand the expense may not justified.
 
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