How Global Adjustment Rate Structure Unexpectedly Cost An Organization $250,000 In One Year

CoEng started a partnership with a rapidly growing and expanding Licensed Producer named Agripharm in mid 2018. They were looking for support in their pursuit to achieve the lowest possible energy cost per unit of production. They enrolled in the REA app, which utilizes a software and services platform to automate the work at hand while ensuring there is constant communication between the client and the service provider. Energy and asset management must be practiced… Continuously!

One of the first things analyzed in REA was the rate structure in which Agripharm was enrolled in. Rate structure refers to how a client is billed for energy use and is a major factor in how much an organization pays for their energy each year. For medium to large electricity consumers in Ontario, we immediately look at the business case for Class A vs. Class B Global Adjustment.

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