Understanding Your New Energy Bill Duke Energy Ohio Webinar February 22, 2012 Vern Hackworth, Regional Mgr. Midwest BSC

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1 Understanding Your New Energy Bill Duke Energy Ohio Webinar February 22, 2012 Vern Hackworth, Regional Mgr. Midwest BSC

2 Today's agenda: General terms and definitions Bill components Review sections of the Duke Energy Ohio bill 2

3 General terms & definitions: Energy The basic unit of electric energy equal to one kilowatt (1,000 watts) of power supplied to or taken from an electric circuit for one hour. Measured in kilowatt-hours (kwh). Demand The rate at which energy is delivered, measured in kilowatts (kw) and averaged over 15-minute intervals. Demand ratchet minimum billing demand based on 85% of highest recorded demand for summer months, June thru September billing. Power factor The term is defined as the ratio of real power to (kw, demand) to total apparent power (kilovolts amperes, or kva) supplied at a given point in time in an electric circuit, and is usually expressed as a percentage (i.e., 90%) Natural Gas Consumption - This consumption is measured in hundreds of cubic feet (ccf). 3

4 Understanding Electric Demand: Lights & Cooling Lighting & Equipment Lights, Equipment & Cooling 30 kw x 5 minutes + 18 kw x 5 minutes + 36 kw x 5 minutes = 15 minutes 15 minutes 15 minutes 10 kw + 6 kw + 12 kw = 28 kw While the maximum for a 5 minute period is 36 kw, the integrated demand is 28 kw. 4

5 Bill components Rate and Riders A number of rate schedules are available for business and institutional customers. Applicability of rates depend on such things as; type of service, size of demands, or equipment on premise. Riders are designed to cover a type of cost or expense. Riders may apply to various rates. Some Riders are bypassable (avoidable) if a customer selects an alternate energy supplier. New Ohio Electric Security Plan (ESP) effective January 1, 2012 through May 31, No change to base rate Riders added, 1 - Rider name change, 1 Rider set to zero 5 - Riders unchanged, 10 - Riders being terminated Total of 19 Riders for non-residential rates Reminder: information in this presentation pertains to Duke Energy Ohio. All states and regulatory commissions have different regulations and rules. 5

6 Riders in Distribution Section of Bill: Rider Description Comment SAW /EE Energy Efficiency Recovery Pending filing for EE DR-IKE Storm Recovery Through 3/31/2014 OET Ohio Excise Tax No Change USR Universal Service Fund No Change - PIPP 6

7 Riders in Distribution Section of Bill: Rider Description Comment SAW /EE Energy Efficiency Recovery Pending filing for EE DR-IKE Storm Recovery Through 3/31/2014 OET Ohio Excise Tax No Change USR Universal Service Fund No Change - PIPP EER Energy Efficiency Revolving Loan Program No Change ($0.00) EFC Economic Competitiveness Fund Changed to ($0.00) UE-ED Uncollectable Expenses Electric Dist No Change IM Infrastructure Modernization No Change BTR Base Transmission Rider Non-Bypassable RTEP Regional Transmission Expansion Plan Non-Bypassable (Credit part of BTR) 7

8 Riders in Generation Section of Bill: Rider Description Comment Following 3 Riders Combined one Line UE-GEN Uncollectable Expenses Generation Non-Bypassable ESSC Electric Security Stabilization Charge Non-Bypassable LAF Load Factor Adjustment Non-Bypassable 8

9 Riders in Generation Section of Bill: Rider Description Comment Following 3 Riders Combined one Line UE-GEN Uncollectable Expenses Generation Non-Bypassable ESSC Electric Security Stabilization Charge Non-Bypassable LAF Load Factor Adjustment Non-Bypassable Following Rider are a separate line item RC Retail Capacity Bypassable RE Retail Energy Bypassable AER-R Alternative Energy Recovery Bypassable RECON Fuel & Reserve Capacity Reconciliation Bypassable ($.00 now) RTO Regional Transmission Organization Bypassable ($.00 now) SCR Supplier Cost Reconciliation Bypassable ($.00 now) 9

10 Choice Bill Top of page 1 of 3 Top part of page 1 is Remittance Slip. Payment to include Account Number(s) Account Number Acme Enterprises Attn: Accounting Dept. 123 Main St. Cincinnati OH Acme Enterprises 123 Main St. Cincinnati OH Duke Energy For Account Service, Please contact Jim Snow Gas Alternative Supplier Electric Alternative Supplier

11 Choice Bill Bottom of page 1 of 3 Gas Alternative Rate GI11 Supplier Electric Alternative Rate EI11 Supplier 11

12 Choice Bill Top of page 2 of 3 Acme Enterprises 123 Main St Cincinnati OH If you have any questions about electric supplier service received from Electric Alternative Supplier, please call them at or write to: 111 South Street Cincinnati OH If you have any questions about gas supplier service received from Gas Alternative Supplier, please call them at or write to: 222 North Street Cincinnati OH ****Your electric supplier has changed the rate by which this bill is calculated. Please contact your supplier with Any questions.**** Gas Alternative Supplier Rate GI11 Gas Alternative 12

13 Choice Bill Bottom of page 2 of 3 Electric Alternative Supplier Rate El11 Electric Alternative 13

14 Non Choice Information Changes Bottom of page 2 of 3 Electric Alternative Supplier Rate El11 Electric Alternative If Duke Energy Ohio provides electric energy (non-choice), Riders RC, RE, AER-R, RECON, RTO, SCR will be separate line items under Generation Riders and no Supplier section on the bill. 14

15 Choice Bill Page 3 of 3 Acme Enterprises 123 Main St Cincinnati OH

16 Duke Energy s Smart $aver Program - Ohio Incentive program where you can receive cash for installing high-efficiency lighting, HVAC, variable frequency drives, pumps and other qualifying equipment. The use of energy efficient equipment enables your business to improve its bottom line by reducing energy consumption. And Smart $aver incentives help lower the costs associated with upgrades or new installations. A comprehensive list of all standard prescriptive incentives are available on our web site. If your equipment isn't included in the Prescriptive Incentive program, it may qualify under the Smart $aver Custom Incentive program. 16

17 We covered: General terms and definitions Bill components Review sections of the Duke Energy Ohio bill 17

18 Questions?

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