result in heavy charges to the Using Agency. Where
energy costs will be computed as shown on figure
the load factor is determined to be less than 0.40,
2-2 using population values from table 2-1. Cost
for loads which will affect the utility demand
comparisons have been simplified for clarity and
charges, an engineering and economic analysis will
do not include such items as fuel and power factor
be performed to determine the optimum method for
adjustment charges, "off-peak" or "on-peak" de-
correcting the deficiency. Low load factor will be
mands, or other billing practices used by utilities.
corrected by shedding loads or by peak-shaving
e. Load factor. Load factor is defined as the ratio
generation during periods of peak demand.
f. Family housing units. Demand factors for
of the average load over a designated period of time
to the peak load occurring in that period. A low load
factor indicates short-time demand peaks which can
comply with the guidance in appendix B.
Air Force Training Base
Population = 9,000
Demand charge = .00 per kW of billing (maximum) demand
Energy charge =
.025 per kWh
Maximum demand per month =
9,000 people x 1.3 kW per capita = 11,700 kW
Energy used per month =
(9,000 people x 4,000 kWh per year) 12 months = 3,000,000 kWh
= $ 35,100.
Demand = 11,700 kW x .00 per kW
Energy = 3,000,000 kWh x
.025 per kWh = $ 75,000.
Total monthly energy cost
US Army Corps of Engineers
Figure 2-2. Monthly Electric Cost Computation.