Load Analysis for the New Albany Area – Why Does It Matter?
For many manufacturers, hospitals, Colleges and community school systems in the New Albany area, it’s been pretty much “business as usual” in regards to their electric use. Many of them probably looked at putting in new and efficient lighting, but very few actually have looked closely at how and when they are using their electricity. Many have never done a Load Analysis and have no idea why their energy efficient changes just aren’t doing the trick.
One thing we all know, is that energy costs and how to cut them is trending. Turning off lights, turning up the thermostat in the summer, turning it down in the winter, and installing energy efficient light bulbs, are often the primary way people look to save energy costs. But, so much more can be done.
Here is a good illustration. Remember when cell phones first came into existence? It was a big deal to get the “Nights and Weekend” plans to go with your prime time “day” minutes. This shows the value of peak usage hours of the day versus usage in the off-peak hours. Although these plans have since gone away, think of this example when examining how you use your electricity. There are dramatic differences in cost when comparing On-peak electric and off-peak electric.
On-peak versus off-peak electric usage throughout the New Albany area is just one of the key pieces of information gained from a Load Analysis. Can’t switch any of your load to off-peak hours? Then you’d better keep looking at what else can be done to lower the energy spend. What you need is analysis data.
An important fact is, how a business consumes their energy drives a majority of the costs. Transparency into the consumption can lead to some meaningful conclusions and cost saving changes. The key thing to learn is, are there ways to optimize electric costs by moving things around? Can doing things at different times of the day or night provide savings, and is this a possibility for your company?
Sometimes simple and non-costly changes can be made. For instance, making sure chillers are cycling at different times and not all at the same time. Or, by shifting a second shift to third shift overnight hours. The fact is, the Load Analysis tool is an essential key factor for today’s businesses when focusing on their energy spend.
Wholesale electric and natural gas prices around the New Albany area, are at near record lows. It’s been kind of easy for Buyers to meet or beat budgets when prices are low. What happens when budgets are set and energy prices rise? Buyers are mostly optimistic. Energy prices are low, and will stay low, or at least that is what they are told and want to believe. Surely, the drop in the number of active drilling rigs in the country won’t change prices, will it? Nor will the increase in natural gas exports to Mexico and Europe in the coming years change the cost for energy….or will it? When the wholesale market for two of the highest price volatile products in the futures market is at or very near the historical low point the chances are much greater that prices will rise than fall further.
Using a Load Analysis report to explore how and when your facility’s usage is occurring, and finding ways to shift your usage load around to take advantage of equipment efficiencies and daily market price differentials needs done now, while wholesale prices are attractive It’s much less stressful to analyze the load patterns and make changes now than wait until prices start to rise due to domestic or global fundamental shifts.
RD Energy customers use the information provided in our nearly 29 page Load Analysis report to see what surprises them.There is always a something learned from the Load Analysis and the revelations are what drives the successful energy plan our customers have. You can’t have an effective energy plan, if you don’t know how you use your energy.
Energy prices are low and management still wants them lower. Our recommendation is to use the RD Energy Load Analysis report sooner than later.
Explore the possible changes in the New Albany area now, so cost savings discoveries can help offset higher costs when energy prices do start to rise and they will.