On 1 July 2015, Energex have changed tariffs for large businesses whose annual consumption greater than 100MWh but less than 4GWh.
This will financilly impact businesses with poor power factor the hardest.
The demand charge component of the network tariff – a charge that reflects a customer's usage and impact on the network will now be charged in kilovolt ampere (kVA). Currently customers are charged for demand in kilowatts (kW). This change will not affect other components of the tariff like daily charges and usage charges.
A customer's impact on the network is measured by their overall demand and the efficiency with which they use their electricity
a measurement called power factor.
What this change means is that customers with good power factor in their facility will pay less
than those with a poor power factor.
Often businesses with inductive loads such as motor driven equipment, like conveyors, compressors, punch presses, injection moulding.
Welders and large lighting ballast may have a poor power factor also.
Why is it changing?
A network tariff based on kVA is a more accurate measure of a customer's impact on the electricity network compared to a tariff based on kW alone.
The more energy a customer demands from the network, the more electricity infrastructure Energex needs to invest in to ensure sufficient network capacity is available to supply that customer.
The more efficient a customer uses electricity at their site, the less impact they have on the electricity network.
How do I minimise an increase to my network charges?
Energex have information available about the options available to large customers to minimise any potential impacts on their network charges and can also offer offer assistance to customers to determine their most effective option.
Customers will improve their power factor by installing Power Factor Correction units.
Power Factor Correction units works to correct poor power factor.
Compared with other options, power factor correction is a relatively low cost solution
to reduce network charges for Businesses in Brisbane.
Is Funding available for you?