(07) 5559 4700 | info@brisbanecommercialsolar.com.au

Peak Demand Charges | How Solar Power Installations Can Help

Depending on where you are located within the utility’s electricity network, there is a capped amount of energy supply available to you. In layman’s terms, the further away from the main power substation, the more difficult, and more expensive it is to supply you with electricity. Much like an internet data plan, if you exceed the capped amount allocated to you, the rate you are charged is significantly amplified for the entire billing period. The result of this amplification, in a lot of cases, is that your peak demand charge becomes a large percentage of your energy account. Reducing the likelihood of your power consumption surging beyond your contracted peak charge amount can be as easy as installing a commercial solar farm. Combined with intelligent system design, this is one of the best ways to combat peak charges that are being applied.

It is important to ensure your plant equipment is operating efficiently. With some energy retailers charging in kVa instead of KWh, businesses now must be concerned with poor power factors and increasing wasted power. Weak power factors can be corrected with a dedicated power factor correction unit. This can also be assisted through intelligent design and the integration of a commercial solar system to an existing facility.

Depending on your energy account structure, power factor correction could help reduce your peak demand requirements and lower your total energy bill. This could mean saving anywhere up to 20% on your energy bill. Operating with a poor power factor means you are potentially overloading your facilities transformers. This overload can increase the chances of a transformer fail which means your facility could have no power supply for days.

For example, the graph below illustrates the load profile of a standard factory operating with a power factor of 0.8 or less. The red line depicts the power supplied to the factory (kVa) and the blue line depicts the energy consumption that the factory used (kW). The difference between these two lines is wasted power, and the ratio between equals your power factor. The yellow, purple and green lines highlight the solar power penetration to the factories current energy demand.

Peak Demand Charges | BCS

Brisbane Commercial Solar can perform a load profile for your business upon request. This will provide you with an extensive understanding of your energy usage and power factor during a 24-hour cycle. We can also examine the possible issues and investigate cost benefits of implementing a solar energy system or other efficient energy devices to your facility and grid network. If you would like any additional information please contact Brisbane Commercial Solar and our experienced team will be able to assist you.

Leave a Reply