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Electric Service Rates – Commercial

All rates are effective February 1, 2017, unless otherwise noted.

Each customer will also pay a power cost adjustment (PCA) each month based on the kWh that is used.  The PCA is based on BPU’s cost of power purchased wholesale from Minnesota Power.

 

General Service

Service Charge $24.25 Monthly
Energy Charge $0.0830 All kWh

The General Service Rate is available to commercial customers, for a single or three phase electric service supplied through one meter at the secondary voltage available at the customer’s location.  Customer that use 2,499 kWh or less each month will be billed the General Service Rate.

The customer is charged the monthly charge regardless of usage on meter, unless the service has been disconnected to the business by BPU.

 

General Service Demand

Service Charge $36.00 Monthly
Energy Charge $0.0832 0 – 2,500 kWh
$0.0379 Excess kWh
Demand Charge No Charge 0 – 8 kW
$17.25 Excess kWh

The General Service Demand Rate is available to commercial customers with usage of 2,500 of more kWh monthly, for a single or a three phase electric service supplied through one meter at the secondary voltage available at the customer’s location.

A demand meter will be installed by BPU when the customer’s use exceeds 2,500kWh for four consecutive months.  The billing demand is the kW measured during the 15 minute period of the customer’s greatest use during the month.

If the customer’s monthly use is less than 2,500 kWh for 12 consecutive months, the demand meter is removed.

The customer is charged the monthly charge regardless of usage on meter, unless the service has been disconnected to the business by BPU.

 

Large Power – Secondary

Service Charge $120.00 Monthly
Energy Charge $0.0307 All kWh
Demand Charge $19.50 All kW

 

Large Power – Primary

Service Charge $120.00 Monthly
Energy Charge $0.0299 All kWh
Demand Charge $18.30 All kW

 

Application

The entire electric service requirements on the customer’s premises must be delivered at one point and metered at (or compensated to) the voltage of delivery.  This rate shall apply for all customers having a demand in any month in excess of 250 kW.

Type of Service

Service will be alternating current; 60 hertz; under one of the following classifications

  • Secondary Voltage – Single or three phase, 600 volts or less
  • Primary Voltage – Three phase, 4,160 volts to 34,000 volts, suppled from BPU

Service voltage available in any given case is dependent upon voltage and capacity of existing lines in vicinity of customer’s premises.  Service is in accordance to BPU Electric Service Regulations and any applicable riders.

Billing Demand

Billing Demand is the kW measured during the 15 minute period of customer’s greatest use during the month, as adjusted for the power factor.  When customer’s average monthly power factor is less than 85 percent lagging, the maximum measured demand will be adjusted by multiplying 85 percent and dividing by the average monthly power factor in percent.  The average monthly power factor will be computed by the formula, average monthly power factor equal (100*kWh)/Sqrt (kWh^2 + kVarh^2).

A customer will be removed from large power if the demand remains below 250kW for 12 consecutive months.  The customer will then be charged the rate for general service demand.  However, if the demand meets or exceeds 250kW again, the customer will then be classified a large power customer with the next month’s billing cycle and will remain at this rate according to BPU’s Electric Service Rate Policy.

 

Economic Development

The Economic Development Rate (EDR), effective January 26, 2016, is offered for new load generated by General Service Demand and Large Light and Power electric customers.  The following table shows the discount rate over a five (5) year period.

Year GSD LLP
1 21% 13%
2 17% 11%
3 13% 9%
4 9% 7%
5 5% 5%

 

All the components of the electric charges will be calculated using the current electric service rates to get the gross electric charges.  The EDR discount rate is then applied to the gross electric charges and will show as a credit on the customer’s utility bill.  Each year on the anniversary of the customer’s service start date the EDR discount rate will decrease and at the end of five (5) years, the EDR discount rate will cease.

 

Commercial Dual Fuel

Service Charge $4.50 Monthly
Energy Charge $0.0495 All kWh

 

A dual fuel system uses two independent heating systems to heat your business.  BPU dual fuel customers use electricity as the primary source of heat.  Propane, fuel oil, or natural gas can be used as the back-up heat source.  The back-up heat source must be automatic and of adequate size to heat your business during peak interruptions.  For example, an electric heat source, such as a plenum heater, with fuel oil, propane, natural gas or electric storage heat as the back-up heating system would qualify.

This program is available to customers receiving electric service, along with another electric rate schedule.  This rate is interruptible up to 400 hours per season and will be remotely controlled by BPU to prevent excessive peak usage.  The space heating load will be separately metered and may be interruptible at any time.  This type of service is single phase or three phase, 60 hertz, at available secondary voltage.

 

Commercial Off Peak

Service Charge $4.50 Monthly
Energy Charge $0.0467 All kWh

 

This program is available to customers receiving electric service along with another electric rate schedule.  This rate is for interruptible service to energy loads, which are remotely controlled by BPU.  This space heating load will be separately metered. Service under this schedule will be available for approximately eight (8) hours per day, normally 11:00 p.m. to 7:00 a.m. or as established by BPU.  This type of service is single phase or three phase, 60 hertz, at available secondary voltage.

Off Peak Heating

An off peak heating customer uses electricity as their primary source of heat.  An off peak heating system utilizes a thermal (heat) storage system that heats up during off peak times, typically 11:00 p.m. to 7:00 a.m.  In-floor electric mats, electric boilers for in floor hot water heat,

and brick storage units are all examples of storage heat system.  The heat is then released into your business the following day to provide 100% of your heating as needed

Off Peak Electric Hot Water Storage

An off peak water heating customer is required to have a 100 gallon or larger, UL approved, water heater installed.  The water heater storage system heats water during off peak times, typically 11:00 p.m. to 7:00 a.m. The heated water can then be used anytime during the day.

To receive an application to have Off Peak or Dual Fuel installed, please fill out the <FORM> and email it to Repair@bpu.org