What is Residential Demand?
The rate philosophy at your cooperative is based on the idea of fairness; the cost causer is the cost payer. A substantial portion of Columbia REA’s power bill from BPA is based on system demand. Members with high usage place more demand on our distribution system and therefore increase our costs.
So why are we adding this new charge?
- Members with high usage place more demand on our distribution system and therefore increase our costs. A member whose peak demand is low should not have to subsidize a member whose peak demand is high. Most other rate classes already include a demand charge.
- Demand, measured in KW, is the speed at which a member uses a certain amount of electricity. An example of lower demand would be running your clothes dryer at 9pm and your dish washer afterwards at 10pm. This places less demand on the system than running both appliances at the same time.
- This new charge only applies to members that exceed 10KW in any given month. Our average member uses 7.4KW a month, so most members will not see a KW Demand charge. The demand is reset each month.
- The first 10KW is provided at no charge.
- The cost will start at $1.00 per KW over 10KW. For example, KW usage of 15KW will add $5.00 to the member’s bill.
15KW – 10KW that is free = 5KW that is billable @ $1.00 = $5.00.
- This charge will start with the October usage that comes out in early November.
- There are easy ways for most members to reduce their KW Demand on the system and we are happy to help work with you.
- Your Demand usage has been appearing on your bill for over a year with no charge applied. If you would like to see your usage history, it is available online and through our SmartHub app.
Call 509-526-4041 or email firstname.lastname@example.org if you have questions.