Load management at a medium-size utility

Grand Rapids is a medium-size city in northern Minnesota, served by its own municipal utility. The rate structure of its wholesale energy supplier causes wholesale demand charges to be quite high and energy charges to be quite low. A load-management feasibility study showed that major reductions in demand charges could be achieved, and that dual-fuel residential heating could be introduced. Details of water heating and dual-fuel heating analyses, bid evaluation, and promotion techniques are given. The load-management system was installed early in 1988 and is effective in controlling wholesale energy costs for the municipal utility