Large Load Proposals and Contract Negotiations
Contract Rates
In some circumstances, special wholesale power rates are available to individual retail customers. These same customers may impose unique distribution system costs for the retail utility. Power System Engineering, Inc. (PSE) has assisted clients with developing unique contract rates that reflect the overall costs associated with providing service to such customers. These contract rates are used to encourage new customers to locate within the utility’s assigned area as well as existing clients to maintain existing load.
Drafting Contracts
PSE can work with your attorney to prepare a contract for service to large load customers.
Negotiations
PSE can join your staff in meetings with existing or potential large load customers to negotiate contracts and terms of service that are mutually beneficial to you and your customer.
Responding to Request for Proposals (RFPs)
Large load customers have the ability to evaluate service from a number of suppliers as they evaluate new locations for their facilities. PSE has assisted many utilities with responding to RFPs that develop unique rate offerings, incentives, and terms and conditions of service.
Large Load Cost of Service
Large load customers often impose unique wholesale power and distribution system costs. PSE can prepare a customized cost of service analysis for prospective and existing large load customers to ensure that rates charged to these customers are fair and reasonable.
Competitive Assessment
Changes in the electric utility industry are placing increased pressure on utility services. Utilities need to determine how their rates and services compare to the competition. PSE can prepare a competitive assessment for your utility, which includes a comparison of your rates with the rates charged by other utilities. This assessment can also evaluate the reliability of your utility service with that of neighboring utilities. We will help you set up effective systems to accurately track costs and establish industry benchmarks to measure how you compare to peer utilities.
