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Electric Rate Structure in Egypt

AEE/ Certified Energy Manager CEM H - 1

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The Structure of Electric Rates

Electric rate structures vary greatly

according to supply voltage and type of

customer.

AEE/ Certified Energy Manager CEM H - 2

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Industrial & Commercial Customers

Industrial & commercial Customers, more than 500

kW cont. power, have three major components to

their electric bill:-

Energy charge

Fixed charge

Power Factor ( PF ) penalty, if any

AEE/ Certified Energy Manager CEM H - 3

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Energy charge: a fixed energy rate per kWh of

electrical energy used that month. This cost element

covers the utility fuel and O&M costs.

Fixed charge: a fixed rate per maximum kW per

month. This cost element covers the utility

investment cost.

PF penalty: a proportional factor based on the kWh

used.

AEE/ Certified Energy Manager CEM H -4

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Key Factors in Electric Energy Use

AEE/ Certified Energy Manager CEM H - 5

There is a big difference between a kW and a kWh

A kW is a measure of power being used

A kWh is a measure of energy being used

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A Good Analogy for kW and kWh

AEE/ Certified Energy Manager CEM H-6

The automobile dash board provides a nice way to

understand the difference between the kW and kWh

A kW is like the speed that is measured by the

speedometer.

A kWh is like the distance that is measured by theodometer

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How is kW Measured

AEE/ Certified Energy Manager CEM H-7

The electric utility does not measure instantaneousvalues of the kW a facility uses. Instead, they alwaysaverage the value of the kW over a short period of time-usually 15, 30 or 60 minutes 900, 1,800 or 3,600seconds.

Two common approaches are used to perform thisaveraging process to get the metered kW value.

One is the sliding window averaging method and theother is the synchronous averaging method.

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AEE/ Certified Energy Manager CEM H-8

Sliding Window Averaging Method

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AEE/ Certified Energy Manager CEM H-9

Synchronous Averaging Method--Egypt

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Why Is This All Important

AEE/ Certified Energy Manager CEM H-10

Understanding the definitions of kW and kWh isimportant to understanding how electric utilities operateand how they use their facilities.

A key point is that there is presently no economic wayto store large quantities of electric energy. Electricity istruly a JIT production process.

Also, electric use fluctuates during the day, and duringthe season of the year, and causes utilities additionalexpenses compared to constant loads.

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Energy cost

AEE/ Certified Energy Manager CEM H - 11

Energy charge : 0.1535 LE/kWh

Fixed charge : 7.3 LE/kW/month

PF penalty: (0.9-PF)*0.5*energy cost

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Bill calculation

A factory consumes 50,000 kWh a month, with a

maximum demand of 225 kW and power factor is

0.85, find the cost of the electric bill for this month?

AEE/ Certified Energy Manager CEM H-12

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Monthly cost

Energy cost= (----) LE/kWh* 50,000 kWh

= ---X--- LE

Fixed charge = (----) LE/kW/month * kWmax

= ---Y--- LE

PF penalty = (0.9-0.85)*0.5* X = --Z LE

Total monthly bill = X+Y+Z LE

AEE/ Certified Energy Manager CEM H-13

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Time of Use rate(not implemented)

Concept: charge more for power (energy) at

expensive (peaking) times for the utility. Charge less

during less expensive times.

AEE/ Certified Energy Manager CEM H-14

MidnightNoon

Least expensive Peak hrs Least expensive

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