Page 5 - Norris Electric News Sept Oct 2021

DISTRICT NEWS 5
This illustration
demonstrates
the difference between
demand and energy. Both players
cover the same distance (energy) but Player A covers it in one play, using more effort (demand) to get to the endzone.
This analogy illustrates the difference
between demand and energy. Both All-
players scored on touchdown drives covering 40 yards. However, one scoring drive took one play, while the other scoring drive took four plays.
The number of yards per play it took for each player to score is like the demand meter and the total yards covered to score the touchdowns are like the energy consumption recorded by a meter. Both players ran 40 yards (energy or kilowatt-hours) for a touchdown. Player A had to exert much more effort to cover 40 yards (demand or kilowatts) in one play to score. While Player B ran at a steadier pace, taking him four plays or 10 yards per play (demand or kilowatts) to score.
A customer who sets a high demand requires more services from the utili- ty such as additional generating plant capacity and more expense for higher ampacity lines, larger transformers and higher capacity substation equipment.
Demand charges generally reflect Nor- ris’ fixed costs which include genera- tion, transmission and distribution to
provide the instantaneous pow- er required by customer electrical loads. Energy charges reflect the number of actual energy units that are used by customer electri-
cal loads over a period of time.
Electric
Rates Being
Eliminated
Norris has been transitioning towards the elimination of all-electric rates for many years. The electric industry has evolved away from offering all- electric rates since they were first introduced to customers over 50 years ago. In 2022, the residential and general service all-electric rates will be eliminated with customers being billed on the applicable residential and general service rate schedules.
are
billed
on the corresponding Norris rate schedules.
There was a significant amount of thought and work put into the pro- posed Norris customer rate revisions for 2022. Change is inevitable no mat- ter how much we would like for things to remain the same and especially in the evolving electric industry. To echo Trev Alberts comment about change, Norris customers should expect and demand progress from their power supplier as we balance the need to pro-
vide reliable, resilient, low cost and sustainable elec- tricity. The cus- tomer rate chang- es being proposed to the Norris Board of Directors are an- other example of the continuous improve-
Seward County Public
Power District Merger
Rates Transition
With the merger between Norris and Seward County Public Power District (Seward) in 2017, a five- year plan was developed to transition former Seward customer rate classes into Norris rate schedules
over a five-year period. The transition plan will be complete in 2022 when all former Seward rate schedules are
ment being plished at Norris.
accom-
SEPTEMBE
R/OCTOBER
4 PLAYS; 40 YARDS 10 Yards (Demand - kW) x 4 Plays (or Hours) = 40 Yards (Energy – 40 kWh)
40 Yards (Demand - kW) x 1 Play (or Hours) = 40 Yards (Energy – 40 kWh)
1 PLAY; 40 YARDS
􏰀􏰀
PLAYER B PLAYER A
Demand (kW or kilowatts) is the rate at which energy is used.
Energy (kWh or kilowatt-hours) is the amount of energy used.