Posted: June 8th, 2016

Suggest changes to the working practices of the factory, in order to reduce the energy consumption and the cost of the energy bill.

LO4.2: Analyse methods for reducing energy consumption

LO4.3: Determine the cost of energy used in a system

1.    The current supplier has provided the following three commercial tariffs (shown below) and the Managing Director has decided to use them again. Based on last year’s energy consumption, determine which tariff would be best to go onto. The energy consumption for the factory is given at the end of the brief (see additional information at the end of the brief).

Tariff A
Standing charge per quarter of £31.95 and every unit is charged at 21.93 ppu
Maximum demand is charged at £7.95 per KVA per annum

Tariff B
All units are charged at 27.90 ppu
Maximum demand is charged at £6.75 per KVA per annum

Tariff C
First 1500 units in a quarter is charged at 23.89 ppu
All additional units in the quarter charged at 18.89 ppu
Maximum demand is charged at £7.45 per KVA per annum

2.    Suggest changes to the working practices of the factory, in order to reduce the energy consumption and the cost of the energy bill.

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