Illustration for Payback Calculation of AHF for kWh Billing State at an F&B MNC in Kolkata

Illustration for Payback Calculation of AHF for kWh Billing State at an F&B MNC in Kolkata
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The customer is a MNC, Food & Beverage Company and a part of the West Bengal Tariff system. The customer has 2 transformers, having a rating of 2MVA and 3 MVA respectively. The AHF was installed at the LV side of the 2 MVA transformer. This application note presents the effect of AHF installation on the electricity bill and saving thereof.


The West Bengal Electricity Board has kWh billing and penalty/ Incentive rates applicable as follows:


33 kV Industrial Consumer with F(bt)* type tariff system:

F (bt) Type of Consumers Energy Charge Rs/kWh Demand Charges (Rs./ KVA/ month)
Normal TOD 06.00 hrs. - 17.00 hrs. All Units Normal 6.99 384
17.00 hrs. - 23.00 hrs. All Units Peak 8.38
23.00 hrs. - 06.00 hrs. All Units Off-Peak 5.24

* F(bt) is a tariff structure in the West Bengal state tariff scheme applicable to 33kV industrial consumer.

Power factor Incentive Scheme Applicable

Slab Power Factor (PF) Range Power Factor Rebate & surcharge On Energy Charge in Percentage For the Year 2015-16
For Consumers Under TOD Tariff
Normal Period (6-00 AM to 5.00 PM) Peak Period (5.00 PM to 11.00 PM) Off-Peak Period (11.00 PM to 6.00 AM)
1 PF >0.99 8 9 6
2 PF >0.98 & PF ≥0.99 7 8 5
3 PF >0.97 & PF ≥0.98 5 6 4
4 PF >0.96 & PF ≥0.97 4 5 3
5 PF >0.95 & PF ≥0.96 3 4 2
6 PF >0.94 & PF ≥0.95 2.25 3 1.5
7 PF >0.93 & PF ≥0.94 1.5 2 1
8 PF >0.92 & PF ≥0.93 0.75 1 0.05
9 PF >0.86 & PF ≥0.92 0 0 0

I. Bill Parameters


The following parameters were recorded before installation of AHF from customer's electricity Bill Details are as below


1. Supply Voltage - 33 kV

2. Contract Demand - 3150 kVA

3. Fixed demand charges - 384 Rs/kVA

4. Percentage Chargeable - 85 % of contract demand = 3150 x 0.85 = 2678 kVA

5. Power Factor - 0.9770 (average)

6. Load Factor (%) - 61.6973. % (% of contract demand)

1. Maximum Demand (MVA)

Normal (MVA)Peak (MVA)Off-Peak (MVA)Penalty Applicability
2.512 2.464 2.576 No Penalty On Maximum Demand

2. Apparent Power Calculations (MVAh)

MVAh
Normal Peak Off - Peak
A Present Meter Reading 47757.2 26826.1 31944.5
B Previous Meter Reading 47220.5 26534.1 31583.4
C = A-B Difference 536.3 292 361.1
D = MF*C Where MF =1000 536300 292000 361100

3. Real Power Billing (MWh)

MWh
Normal Peak Off - Peak
E Present Meter Reading 45839.2 25805.4 30763.7
F Previous Meter Reading 45315.6 25519.1 30411.5
G = E-F Difference 523.6 286.3 352.2
H = MF x G Where MF =1000 523600 286300 352200

4. Electricity Charges

Billing Details
Normal Peak Off - Peak
I EC (Rs/kWh) 6.99 8.38 5.24
Recorded PF 0.9763 0.9805 0.9754
J PF REB(-) 5% (Slab3) 8% (Slab2) 4% (Slab3) #
L= H*I 3659964 2399194 1845528 7904686 AMOUNT (Rs) PAID IF NO REBATE ON PF
Disc =%J x L. Discounts 182998.2 19135.5 73821.12 448754.8 ACTUAL REBATE ON PF

II. Bill Calculations


1. Part A - fixed charges

Contract demand 3150 kVA
Actual Consumption < 2576 kVA
Chargeable 85 % of Contact demand + Additional KVA consumed
Additional KVA consumed 0, hence 85 % of contract is payable
Actual consumption 3150 x 0.85
2678 kVA

Consumed kVA is lesser than 85 % of contact demand, hence irrespective of any saving in kVA, customer has to pay a minimum sum

= Rs. 0.85 x 3150 x 384

= Rs. 10,28,352

2. Part B - kWh charge

The total kWh consumed were as follows:

kWh Rs/kWh
Normal 523600 * 6.99 3659964
Peak 286300 * 8.38 2399194
Off-Peak 352200 * 5.24 1845528
Energy charge to be paid for energy consumed 7904686

3. Part C - Incentive & Penalty

According to Part I, Point 7 of the note, the incentive applicable to the customer would be 5%, 8% & 4% in normal, peak and off-peak hour's resp.

Normal 5% (slab3) * 3659964 182998
Peak 8% (Slab2) * 2399194 191936
Off-Peak 4% (Slab3) * 1845528 73821
Energy charge to be paid for energy consumed 448755
After AHF Installation

Fig 2 I-THD waveform variation before and after AHF installation

After AHF Installation

Fig 3 -Value of VTHD AND ITHD before and after AHF installation

ParametersAHF OFFAHF ON (Only harmonic correction)AHF ON (Both PF & harmonic correction)
% VTHD 3.1 1.9 1.9
% I-THD 13.8 6.6 7.0
Pf 0.987 0.992 0.996

Fig 4-Value of RMS Current before and after AHF installation

RMS CurrentRYB
AHF ON 1478 1377 1369
AHF OFF 1501 1408 1406

IV. Scope for saving

1. Direct Saving through increase in incentive


According to the West Bengal Electricity board if a PF above 0.991 is maintained, the PF is rounded to unity and maximum incentive can be obtained from the same. Installed E&A AHF filter improved the customer PF from 0.977 to 0.996, leading to maximum incentive obtained from the electricity board.


According to Part I, Point 7 of the application note, the maximum incentive that can be obtained is 8%, 9%, 6% during normal, peak and off-peak hours respectively


Considering the customer gets maximum percentage incentive, the rupee incentive would be as follows.

Normal 8%(Slab1) * 3659964 292797
Peak 9%(SIab1) * 2399194 215927
Off-Peak 6%(Slab1) * 1845528 110732
Incentive in rupees after unity power factor 619456

IV. Scope for saving

1. Direct Saving through increase in incentive


According to the West Bengal Electricity board if a PF above 0.991 is maintained, the PF is rounded to unity and maximum incentive can be obtained from the same. Installed E&A AHF filter improved the customer PF from 0.977 to 0.996, leading to maximum incentive obtained from the electricity board.


According to Part I, Point 7 of the application note, the maximum incentive that can be obtained is 8%, 9%, 6% during normal, peak and off-peak hours respectively


Considering the customer gets maximum percentage incentive, the rupee incentive would be as follows.

2. Saving through reduction in line current


The harmonic analysis was done before and after AHF installation and the following results were obtained from the same


It can be seen that the reduction in current is about 30 A (avg). Reduction in line current would lead to reduction of transformer losses and copper losses. This reduction would be responsible for reduction in power consumed hence leading to direct saving for the customer. The installed AHF also consumes active power.

Individual AHF

The AHF was turned on during the peak hours of operation and hence the calculations for the same have been done as follows.

Power AHF-OFF
Power AHF-ON
Power with AHF 1007.99 kW For 180 hrs./month 181438.93 kWh
Power Without AHF 1009.83 kW For 180 hrs./ month 181769.88 kWh
Difference -1.83 kW For 180 hrs./ month -330.95 kWh

Hence a monthly reduction of 330 kWh can be obtained during the peak period. Taking a percentage of the saving obtained, assuming that the same percentage saving in the other normal and off peak-periods, we can obtain the approximate saving in the other operating hours, as follows:


1. Peak hours

330 kWh x 8.38 = Rs 2773

Percentage saving = 2773 / 2399194 = 0.116%


Approximating and applying the same percentage saving to the other times of day.


2. Off peak Hours

Saving: 0.116%x 1845528 = Rs 2133.38


3. Normal Hours

Saving: 0.116%x 2659964 = Rs 4230


Total Saving due to reduction in kWh = Rs 9138 per month

Conclusion

The following illustration represented the case of a MNC, Food & Beverage Company and a part of the West Bengal Tariff system. The billing details of the consumer were first calculated for a previous month. The same bill was then considered for better power factor and hence applicable incentives post AHF installation were projected. The overall power saving with and without Active Harmonic Filter is as follows

Total BillWithout AHFWith AHFSaving
Demand Charge 1028352 1028352 0
Total EC 7904686 7904686 0
LF Rebate -92968 -92968 0
PF Rebate -448755 -619456 170701
MCVA Charges 267283 267283 0
Other Arrers Charges 480857 480857 0
Total ED (15%) 1357656 1357656 0
Reduction In kWh 0 -9138 9138
Meter Rent 2400 2400 0
Total 10499511 10319672 179839

It can be seen that the monthly saving of the customer is Rs 1,79,839 INR and taking into consideration the total MVA of the customer, an AHF of Rs 18,00,000 is required for meeting the 5 MVA capacity.

Cost of AHF 1800000
Monthly Reduction in Electricity Bill 179839
Payback Period (in Months) 10.01

Hence after the 10 months payback period, the customer would have an annual saving of Rs 21,58,068

About the Author

author

Sourav Dasmodak,

Product Management & Marketing (Powergear - ACB)

Product Owner of Air Circuit Breaker (ACB) of Lauritz Knudsen for Domestic & International Market. I can talk to you about Electrical Products' Sales, Business Development, Market Expansion, Cracking Critical Strategic Account, handling Key Account & of course how to develop & motivate Channels along with the organizational growth. Having near about one and a half decade of experience across the country with major electrical manufacturers (Top 4).