Journal of electricity, power, and gas . at some simple type of rate which shall be fairto both consumer and the company. The primary requirement of any fair rate is thatthe consumer shall pay a rate exactly proportionalto the cost of serving him. As practically all consumers want electricity de-livered to their premises at all times, whether theyactually use it one hour or twenty-four hours per day,it is here conceded that the service charge of so muchper month per horsepower or kilowatt of maximum de-mand is a fair charge. Whether or not this servicecharge (sometimes called Readiness to Serv
Journal of electricity, power, and gas . at some simple type of rate which shall be fairto both consumer and the company. The primary requirement of any fair rate is thatthe consumer shall pay a rate exactly proportionalto the cost of serving him. As practically all consumers want electricity de-livered to their premises at all times, whether theyactually use it one hour or twenty-four hours per day,it is here conceded that the service charge of so muchper month per horsepower or kilowatt of maximum de-mand is a fair charge. Whether or not this servicecharge (sometimes called Readiness to Serve chargeor Maintenance and Installation charge, etc., etc.)should be additional to the kilowatt hour charge ormerely absorbed as a consumption charge thus regu-lating the minimum monthly bill, is beyond the scopeof this article and can be handled either way in theproposed type of rate. Assuming that a fair service charge has been ar-rived at, the charge per kilowatt hour should be ex-actly inversely proportional to the load factor. The. zoo eoo 300 4-00 SOO HORSE POWER HOURS Chart Chowing Comparison of Irrigation Rates consumer who ordinarily uses power (or light) onlyone hour per month is surely not as desirable a cus-tomer and is not entitled to as low a rate (even thoughhe pays a service charge) as the customer who usesit eight hours or 24 hours per day and it is here con-tended that a fair rate to both consumer and companymust be lower for each succeeding hour it is usedthroughout the month. A rate that meets this requirement is here sub-mitted. (Dolson Rate). A service charge of $1 perhorsepower per month (based on maximum demand)plus a meter rate of two cents per kilowatt hour, witha discount, (50 per cent times the monthly loadfactor). Note: The service charge, two cent rate and 50per cent base discount in the above were chosen forthe purpose of comparison with some existing irriga-tion rates and may be changed to suit local conditionsand different classes of busine
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