SUMMER2016
21
Capacity Costs
Electricity utility companies measure and
average each customer's energy demand in
kilowatts on the five highest demand days
of each year. That average, known as peak
load contribution (PLC), can be reduced and
managed through best practices. Electric
utilities and suppliers use each customer's
PLC, or "installed capacity tag," from the prior
year to calculate monthly capacity costs, which
appear as a line item on customer electricity
bills. Your peak load contribution in 2016
will determine your monthly capacity costs in
2017.
You should be able to identify their PLCs at
a glance. The PLC may be listed as "demand
charge" or "billed load KW" on some customer
bills. If you have any questions regarding your
PLC or energy bill, contact the APPI Energy
customer service team.
10 Tips
to Reduce Energy Costs
1. Lighting. Replace outdated incandescent
light bulbs with light-emitting diodes (LEDs)
or compact florescent light bulbs. Install
occupancy sensors so lights will only operate
when motion is detected.
2. Heating/Cooling. Adjusting the temperature
in your facility by only a few degrees can
significantly lower energy costs. Many
electricity utility companies offer financial
incentives for upgrading HVAC systems.
3. Demand Response Program. Receive
payments for voluntarily reducing electricity
usage during peak demand times. This also
benefits the grid system and the environment.
4. Efficiency project. Upgrade your facility and
equipment. Install energy efficient appliances
and machines. Many state governments and
electricity utility companies offer financial
incentives and reimbursements for sports
facilities to save energy.
5. Reduce consumption. Schedule operations
for off-peak hours. Use an onsite generator.
Shut down equipment whenever possible.
