Case Study – Battery Storage – Food products manufacturer with .8 MW solution saves $1,387,849 (33.1%)
Market available: Ontario
In Ontario, there is no better opportunity to lower your electricity costs than battery storage with behind-the-meter service. Net savings are typically 200k per MW/ Per year.
Case Study – A food manufacturer who is a recent Class A customer with no ability to load shed or shut down using 5.222.707 kWh a year with a .8 MW / 1.60 MW total capacity
Avg Hourly Demand (kW) 600
WAVG GA $0.0803
Annual GA $419,124
Peak demand 813
Net Savings including electricity price arbitrage and demand response $1,387,849 over term (33.1%) *** assuming GA remains the same over term and does not increase.
Additionally savings are based on assuming you are a Class A customer already. Customers that opt in to Class A ‘typically’ save however we can tell you what you would have saved last year as a Class A customer without the use of battery storage as part of our no obligation profile.
There will also be additional revenue streams by cycling battery up to 250 times a year as well as potential grid contribution opportunities which will also benefit the customer.
We already know that the GA will increase 30-40% over the next 10 years due to long term contracts already in place with generators which are anywhere from 5-53 years, which includes more supply than required for the Province.
The new ONTARIO FAIR HYDRO PLAN (OFHP), which went in to effect on July 1st 2017 and aims to lower monthly electricity bills for RPP customers (under 250,000 kWh a year or under the Residential Property, Condo or Long Term care verticals), will see rates increase yearly to match inflation (2017 – 2021). From 2021-2027, total electricity costs will increase yearly by 6.8% and from 2027 to 2045 total electricity costs are estimated to be 4% higher than they wold be without the OFHP.
A well placed source, tells this plan is adding an additional 1.4 billion PER YEAR to the Global Adjustment costs to be absorbed by other customers that do not fall in the RPP category, which means Class A customers that don’t participate in curtailment and Class B customers.
With our suppliers proprietary algorithm the ability to hit 5/5 peaks is 95-99% certain with a cycle of 100 times per year (system is run 250 times a year for additional revenue opportunties). As more Class A customers come on board, the peaks become less predictable which can be managed by scaling the system to accommodate but also lean on the expertise of our suppliers top tier team which includes former IESO executives.
Behind-the-meter management and expertise is key to achieve the savings which is why the supplier assumes all the risk and guarantees the savings, as well as fully manage and operate the system. You want to ensure you choose a supplier with the expertise, financial backing, the understanding of the Ontario market and close connections to the regulatory body.
Over 70% of manufacturing customers from .5-.99 MW opted in to Class A, well above the expected 30-40%. This means that Class B and Class A customers that do not partake in conservation efforts will see even more share of the Global Adjustment on their invoices.
For a no cost or obligation profile email us at email@example.com or call 416-840-1485 x 1