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MAE406 Homework 7

MAE406 Homework 7 - 2,378,190 4,616,486 11,512 11,604 May...

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MAE406 Homework 7 Due 11/5/07 You are the new facilities engineer at your manufacturing plant. One of your first tasks is to reduce electrical costs for your company. The first thing you want to look at is your electric rate schedule. You are in Progress Energy’s service territory and are currently on a Large General Service Rate, Time of Use (LGS-TOU) rate. You ask your bookkeeper for billing information and she provides you with the following: On-Peak Off-peak On-peak Off-Peak Energy Energy Demand Demand Month kWh kWh kW kW Jul 2,706,196  5,253,204  13,331 13,141 Aug 3,089,614  5,997,486  14,438 14,035 Sep 2,831,486  5,496,414  13,616 12,930 Oct 2,465,892  4,786,732  12,687 12,523 Nov 2,411,398  4,680,950  11,735 12,095 Dec 2,240,901  4,349,983  11,563 11,405 Jan 2,284,218  4,434,070  11,015 10,947 Feb 2,293,018  4,451,154  10,919 10,356 Mar 2,087,977  4,053,132  10,354 10,278 Apr
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Unformatted text preview: 2,378,190 4,616,486 11,512 11,604 May 2,375,539 4,611,340 11,535 11,258 Jun 2,592,053 5,031,632 12,979 12,417 total 29,756,482 57,762,583 145,683 142,989 Your job is to compute the cost of electricity with each of the two applicable rates – LGS-TOU (the current rate) and LGS – the proposed rate. Don’t worry about transformation discounts, power factor, or fuel riders. Assume sales tax is 3% of the charges. Which is rate better? What would you recommend to your boss? Summarize your findings in a short – 1 or 2 page – memorandum to your boss. Provide detailed calculations for at least one month and provide a printout of your spreadsheet, attached to the memo (not included in the 1-2 page memo). (MAE412 students – think executive summary memo, results, and sample calcs from your projects)....
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