Estimate the electricity cost of your motorized
equipment and consider ways to save

Thinking of adding a small motor or piece of equipment to your operations? Using a simple formula, you can quickly estimate the effect the new motor will have on your monthly bill. Simply select the average cost per kilowatt-hour for your rate schedule from the table on the right side of this page and plug it into the following equation: Horsepower rating on motor  X  0.746 HP per KW  X  hours of use per month X  average cost per rate schedule = estimated average monthly cost Remember that the kilowatt-hour cost in the table is based on an average of all customers in your rate schedule. Your actual costs will vary slightly depending on your actual usage (KWH) and demand (KW). Ways to save Savings can be realized by reducing or shifting demand, particularly during your highest-use periods of the day. For example, two 5-horsepower motors running for four hours do the same amount of work as one 5-horsepower motor running for eight hours, but have a higher operating cost. Two motors running for four hours a day will add to the billing demand 7.5 kilowatts and use 900 kilowatt-hours. The resulting monthly bill on the G1D rate schedule is $127. One motor running for eight hours will add to the billing demand 3.75 kilowatts and use 900 kilowatt-hours. The resulting monthly bill on the G1D rate schedule is $116. As another example, if you are on the GS3 rate operating equipment that requires 10 kilowatts, you can save $74 on your monthly bill by eliminating or delaying use of this equipment until a time of day when you’re using less electricity.  This method of avoiding demand charges through creative scheduling can be applied to most equipment that doesn’t need to run all day.