Transfering The Electrical Load

One of my projects (for some reasons, the name of the project will not be revealed) is to design the electrical systems for commercial development. The scope of work is including the High Tension (HT) systems, Low Voltage (LV) systems and Extra Low Voltage (ELV).

In general, the development consists of two (2) blocks (A and B) with six floors for tenanted office and both blocks belongs to single owner.

The Owner having the intention to transfer the load for the tenanted area which initially taking the power supply from our local power utility provider Tenaga Nasional Behad (TNB) to the management (Landlord) supply.

The reason why the idea came across is that; there is a believing that the tariff that being imposed to the user is already caters for the maintenance charges, the modification works that needs to be done by the utility provider and all the cost incurred which due to the power that being supplied.

Considering that the maintenance and modification works happens  only once in the blue moon, the load rather to be parked in the management side than the utility provider. So... indirectly, the Owner no need to pay for all the extra charges and all the cost incurred instead borne by the utility provider...now will be under the Owner’s responsibilities.   

As a Consultant, we are instructed to do the study on the impact in term of technical and financially matters due to the transferring of these load.

Please take note that the rate and the currency might be differ to certain country as this study are based on Malaysian currency and TNB’s electricity tariff. Furthermore, this study should only to be taken as a reference and not to be taken as a solid proof.

The report are as per below:

The Study Of Transferring The Load

The objective of our study is to evaluate on the intention of the Owner to transferring the Tenant’s load for Block A to the Landlord’s load and to provide recommendation to the Client after completing of our study.

The evaluation shall be based on few parameters as per listed below:-

a)   Design Criteria
b)   Electricity Tariff Calculation
c)   Submission to Authorities
d)   Modification Works
e)   Cost Implication

DESIGN CRITERIA
In overall, the electricity scheme had been designed to segregate the Landlord’s load to the Tenant’s load (see photo below). By segregating these loads the Landlord and Tenant will be billed differently as per their individual tariff.

Click here for the original schematic diagram before transferring the load.

Landlord’s load will be under tariff C1 while tenant’s load will be under tariff B. The tenant load has been designed based on the concept that it will be rented or leased out as such TNB meter has been designed for.

In order to transfer the Tenant’s load to the Landlord, the electricity scheme needs to be redesign by means of swinging the incoming supply before the TNB’s Check Meter (see the clouded area at photo below) and then tapping from landlord load busbar instead.

Click here for the new schematic diagram after transferring the load.

ELECTRICITY TARIFF CALCULATION
The electricity tariff for Tenants currently will be billed as per Tariff B. After transferring the Tenant’s load to the Landlord, the new tariff for Tenants will be based on Tariff C1.

Below is the calculation of the Tenant’s monthly bill. These calculations are based on parameters as per below:

Total Maximum Demand for 24 Tenants       = 466.63 kW
Total Day Usage / Month                                 = 30 days
Load Factor                                                      = 0.25
Working hour                                                    = 12 hours.

The Unit Rate is based on the latest electricity tariff by TNB.

The Unit Rate for Tariff B                                       = RM 0.408 (attachment 3)
The Unit Rate for Maximum Demand Tariff C1   = RM 24.60 (attachment 3)
The Unit Rate for kWh Tariff C1                            = RM 0.296 (attachment 3)

a) Tariff B
Monthly Bill (RM) = Maximum Demand (kW) X Working Hour X Load Factor X Days X Unit Rate (RM)
                            = 466.63 KW X 12 Hr X 0.25 X 30 days X RM0.408
                            = RM 17,134.65

b) Tariff C1
Maximum Demand per month (MD/Month) = Maximum Demand (kW) X Load Factor X Unit Rate(RM)
                                                                     = 466.63 KW X 0.25 X RM24.60
                                                                     = RM 2,868.77

Monthly kWh = Maximum Demand (kW) X Working Hour x Load Factor X Days X Unit Rate (RM)
                      = 466.63KW X 12 Hr x 0.25 X 30 days X RM0.296
                      = RM 12,431.00

Monthly Bill (RM)   = MD/Month + Monthly kWh
                             = 2,869.77 + 12,431.00
                             = RM 15,300.77

Difference (RM)     = Tariff B - Tariff C1
                               = RM17,134.65 – RM15,300.77
                              = RM 1,833.88

Based on the calculation above, it can be concluded that by transferring the Tenant load to the Landlord load, the Owner will pay RM 1,833.88 lesser for the monthly electricity bill if all tenant load transfer to landlord load.

SUBMISSION TO AUTHORITIES
In order to transfer the Tenant’s load to the Landlord, the Consultant needs to submit the revised Single Line Diagram to TNB Metering and TNB Planner.

Transferring the load may affect the installation of TNB’s Check Meter. This Check Meter is monitoring the usage of all tenants including power consume by Food Court, Street Lighting, Sewerage Treatment Plant and others that parked under office load.

The decision on transferring the load should be finalized before installation of Check Meter take place. This is crucial as the Current Transformer (CT) for Check Meter need to be size-up based on the total load consumed.

MODIFICATION WORKS
Due to the transferring of the load, modifications need to be done to the Main Switch Board and an extra cable length required for swinging the power supply input.

The estimated time frame for this modification works will subject to the switch board manufacture and the availability of the cable in a market.

COST IMPLICATION
Additional costs are needed in transferring the load such as the cost to modify the Main Sub Board (MSB) and extra cost for connection fee in lieu of the additional Maximum Demand (MD).

The additional cost for modifying the MSB will be RM 40,000.00.

The total Maximum Demand for 24 nos. of Tenants is 466.63 kW and the rate for Connection Fee is based on RM 45.00 / kW. Therefore, the additional Connection Fee will be RM 20,998.35.

Adding these costs, the total additional cost required for transferring the load is totaling to RM 60,998.35.

However, by increasing the Maximum Demand of the power supply to the Landlord, the Owner should pay and additional meter deposit. Since the meter deposit is actually refundable therefore, we are not taking into account of this additional cost.

CONCLUSION
Based on the above evaluation, the Owner will have electricity bill saving of  RM 1,833.88 for the monthly bill and an extra cost of RM 60,998.35 for transferring the load.

The pay back period with saving of RM1,833.88 over the installation cost and contribution charges will be 33.26 months or 2.77 years.

If you consider the electricity tariff that being charged to the user is already cater for the maintenance charges by the utility provider, the cost incurred in the event of replacement of equipments needed and the cost of maintaining the power factor from the source of power supply. Then, the transferring the load is a wise decision and worth the money for Client to implement it.