What Is Generator Peak Shaving?

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Peak shaving refers to leveling out peak electricity use by power consumers in the industrial and commercial sectors. Peak shaving reduces the amount of energy purchased from the utility companies during peak energy demand hours.

Monitoring these power consumption peaks is essential for power grid stability and also affects utility costs. These costs will usually be billed in reference to the maximum peak load, which means that due to the grid load and amount of power necessary to be produced, costs will be incurred to accommodate these peak loads and power requirements.

Depending on location, there can be up to give peak energy usage days in the year that help determine the price of electricity. Businesses will try to save energy on these days to influence their energy costs. Essentially, companies will lower power consumption incrementally to avoid hitting a peak load. To achieve this reduction, companies must lower production rates or use a backup power source.

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How Does Peak Shaving Work?

Peak shaving allows consumers to reduce power consumption (known as “load shedding”) for intermittent periods to avoid a spike in power consumption. These spikes help influence the cost of energy, mainly because your supplier works with numerous companies. All those entities pay so each company has enough power to accommodate all its partners.

Peak shaving can be achieved by using a commercial on-site generator. Often, rental equipment companies and power plants will implement the use of prime power generators to offset power provided by utility companies or when power is not available at their sites. You could also:

• Scale back operations
• Use a battery system
• Incorporate energy-efficient equipment
• Install an on-site energy supply.

Many businesses choose to rely on a generator.

Shaving is usually done during peak times of usage, and it is also sometimes known as load management. These processes help keep costs down during peak times.

What Is the Difference Between Peak Shaving and Load Shifting?

With peak shaving, your business finds ways to reduce power consumption for short periods using one of the methods listed above. These processes help you avoid spikes.

Instead of peak shaving, some companies choose to participate in load shifting. While each process has a similar premise, load shifting reduces energy consumption by shifting it to a later time. When demand or prices are lower, your company will increase production again.

The Benefits of Peak Shaving Systems

Peak shaving is one of the best ways to reduce energy consumption. Additional benefits of the process include:

• Fewer utility costs: Fuel and energy costs can be high, especially if you operate during peak hours. Peak shaving will help prevent charges from increased demand, keeping energy costs consistent throughout the entire year. These predictable, lower prices allow you to estimate and budget utility costs.
• Increased reliability: Avoid electrical surges by engaging in peak shaving. Your proactive energy consumption monitoring ensures better performance with fewer power delays or interruptions.
• Maximized operations: Keep your operations on schedule by using peak shaving as part of your energy consumption. Choosing energy-efficient equipment, generators and batteries can help you plan ahead and avoid downtime.

Additional Applications for Peak Shaving Generators

Peak shaving isn’t just beneficial to avoid incurring costs from utility companies. Peak companies can also potentially benefit from Demand Response incentive programs, which are always looking to reduce regional energy demand during periods considered “peak load.”

Demand Response programs may or may not be a viable option depending on region and locale, as EPA Tier requirements and regulations vary from state to state. All generators must meet specific EPA emissions requirements and adhere to regulations depending on their intended application.

If you are interested in peak shaving but unsure if your generator qualifies, please contact us for consultation. We have emissions upgrades available that may help you meet the regulations and requirements set forth by the EPA.

Take Advantage of Peak Load Shaving

If your generator meets the criteria for Demand Response incentives, then you will be able to take advantage of a strategy known as “sellback.” This process allows you to make a profit based on the unused energy by selling excess power back to the market.

You can find more information about Demand Response here: Demand Response Incentives for Commercial Properties.

The Woodstock Power Company Experience

At Woodstock Power Company, you will find industry experts who understand commercial backup power generators and how they relate to peak shaving. Our team is standing by, prepared to help you decide which generator will work best for your peak shaving application.

Our team has experience supplying generators for several commercial and industrial applications, including:

• Commercial or industrial real estate property
• Data centers
• Hospitals
• Commercial business facilities

We are prepared to answer your questions about generators and help point you in the right direction. Our team can accommodate several preferences, such as:

• Natural gas or diesel
• Portable or stationary power sources
• Peak and average power requirements
• Space and exhaust restrictions
• Prime, continuous and standby generators

Our goal is to help you find high-quality used, new and surplus generators that will work for your application. Woodstock Power Company carries top-rated power generator sets, allowing us to get you the right product within your budget.

We thoroughly inspect, service and verify all the generators we sell because we want to help you find a reliable product. If we notice something about the generator that leaves it below industry standards, we will make repairs or modifications. We then test each generator before selling it to you.

At Woodstock Power Company, you will find a wide selection of generator sets, ensuring we can help you find the right model for your operations. If you’re looking to sell a generator, we can also help you there!

Optimize Your Energy Usage With Woodstock Power

If you want to start using peak shaving to reduce your company’s utility costs, you need the right generator. That’s where Woodstock Power Company comes in. We can help you find more information about peak shaving or help you find a generator to use for peak shaving initiatives.

You can give us a call or send us an email at 610-658-3242 or sales@woodstockpower.com. Or you can fill out our contact form to ask about our full-service commercial generator supply, services and advice.

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What is Generator Peak Shaving? How it Works?

Introduction

Have you ever experienced a power outage or spike that disrupted your business operations? These unexpected events can cause significant damage to your business, from lost productivity to damaged equipment.

Fortunately, there is a solution that can help protect your business from such events: generator peak shaving.

Generator peak shaving is a strategy used to minimize a facility’s peak power consumption by avoiding peak demand charges and supplementing the electrical grid during periods of high demand with a backup generator. This strategy not only protects your business from power outages but also helps you save money on electricity.

In this in-depth article, we’ll look at what peak shaving is, how it works, and the benefits it may provide to your company.

What is Generator Peak Shaving?

Generator peak shaving can help reduce energy consumption at peak power usage for your business by using a backup generator to supplement the electrical grid during periods of high demand.

The generator is set to turn on automatically when the facility’s on-site energy supply or energy storage system reaches a certain threshold, lowering the amount of energy used from the electrical grid.

This technique is particularly effective for enterprises that have much higher power consumption during certain periods of the day or year, such as during inclement weather or peak business hours.

Businesses may save money by maximizing energy efficiency and minimizing pressure on the electrical system by lowering peak electricity consumption throughout.

In addition to being a more energy-efficient system during peak loads, peak shaving also offers several other benefits, such as improved power quality, reduced carbon emissions, and increased reliability. With these benefits in mind, let’s take a closer look at how generator peak shaving works.

How Does Generator Peak Shaving Work to Improve Energy Efficiency?

Generator peak shaving is more energy efficient and works by supplementing the electrical grid with a backup generator by quickly reducing power consumption during peak energy usage days. This technique helps reduce the facility’s peak load, which in turn reduces energy costs and the strain on the electrical grid.

Consider the following hypothetical scenario to better understand how generator peak load shaving works.

Assume you own a small restaurant that sees an increase in energy consumption during the lunch hour. The restaurant’s energy use may surpass its electrical capacity during this period, resulting in a power outage or surge.

To avoid this, you might supplement the electrical grid with a backup generator during the lunch rush. When the restaurant’s energy use reaches a certain threshold, the generator will automatically switch on, lowering the amount of electricity drawn from the electrical grid.

While this may appear straightforward in theory, there are various things to consider when adopting peak shaving. For example, the generator must be set to switch on and off at specified intervals to avoid running inefficiently and wasting fuel.

It’s important to keep in mind that the generator in use must be suitably designed to guarantee that it can manage the maximum peak load of the facility without causing harm to the electrical infrastructure or the equipment linked to it.

As a result, adopting generator peak shaving necessitates careful planning and the knowledge of a competent specialist. A generator specialist can assist you in determining the best size and location for your backup generator, as well as developing a tailored peak-shaving approach that matches your company’s specific demands.

Besides reducing energy costs and improving efficiency, generator peak shaving also offers several other benefits. For example, it can help improve power quality by reducing voltage fluctuations and power surges.

It can also help reduce carbon emissions by lowering the demand for energy from fossil-fuel power plants, as well as improve the reliability of your business operations by providing backup power during outages and spikes in grid demand.

Case Study: How Walmart Reduced Expenditure on Energy Usage with Generator Peak Shaving

One notable example of a corporation that has successfully implemented generator peak shaving is Walmart. To reduce expenditure on energy and improve sustainability, Walmart has installed generator peak-shaving systems at several of its stores and distribution centers.

According to a case study conducted by one of the most reliable renewable energy sources, National Renewable Energy Laboratory, Walmart was able to save millions of dollars per year in consumption charges by implementing generator peak shaving. By reducing their energy consumption during peak hours, Walmart was able to lower their demand charges and reduce their overall energy costs.

Apart from cost savings, Walmart’s generator peak shaving and power storage systems provided a dependable supply of backup power in the case of a power loss. This aided in ensuring company continuity and avoiding possible losses due to disrupted activities.

On the whole, Walmart’s success in deploying generator peak shaving shows the potential benefits of this technology for major organizations with significant energy use.

Want more information on peak shaving generators? Feel free to contact us.

Common Mistakes to Avoid When Implementing Generator Peak Shaving

Implementing generator peak shaving can be a great way for businesses to reduce their energy costs and improve their bottom line. Even still, there are several frequent blunders that companies should avoid to ensure a successful deployment.

These are a few mistakes to avoid:

1. Underestimating Power Needs

Underestimating power demands is a typical error that businesses make when adopting generator peak shaving.

It is critical to ensure that the generator is suitably scaled to manage peak demand; otherwise, it may not be able to keep up during peak power consumption periods.

This might result in power outages and business interruptions, which can be costly in terms of lost productivity, utility costs, and income.

2. Lack of Proper Maintenance

Another blunder to avoid is failing to properly maintain the generator. Generators, like any other piece of equipment, require routine maintenance to perform properly and reliably.

Changing the oil and filters, checking the battery, and inspecting the fuel system are all examples of maintenance.

Failing to properly maintain the generator might result in costly repairs down the road, as well as a reduction in performance during high-demand periods.

3. Poor Planning and Installation

Proper planning and installation are also key to a successful generator peak-shaving implementation.

This includes things like ensuring that the generator is located in a well-ventilated area, that there is adequate space around the generator, and that it is safely and properly linked to the electrical system.

Improper planning and implementation can result in dangerous situations, poor performance, and costly maintenance.

4. Inadequate Training and Education

Utility companies can take it a step further by making certain that their employees are adequately taught and informed on how to utilize and maintain the generator.

Just a few examples of this are understanding the control panel of the generator, knowing how to start and stop the generator, and knowing how to monitor the generator’s performance. Insufficient training and instruction can result in safety risks, poor performance, and expensive repairs.

Businesses may ensure a successful adoption of generator peak shaving and reap the cost savings and other benefits by avoiding these typical blunders.

Wrapping Up

Businesses can cut their peak demand charges and enhance their bottom line while also supporting environmental goals by limiting energy use during peak hours.

Generator peak shaving can help you reach your energy objectives and improve your operations, whether you operate a small business or a huge multinational. As demonstrated by Walmart, generator peak shaving may result in considerable cost savings and improved business continuity.

So if you’re looking to reduce your electricity usage costs and ensure reliable backup power, you definitely might want to consider implementing a generator peak-shaving system. With the right technology and expertise, you can harness the power of generator peak shaving and take your business to the next level.

If you have any questions or need help getting started with generator peak shaving, be sure to reach out to a qualified energy expert for guidance. Contact Swift Equipment today, and let us help you power your success.

FAQs about Generator Peak Shaving

1. What are the benefits of generator peak shaving?

Generator peak shaving offers several benefits, including reduced energy costs, improved efficiency, and improved power quality. It can also help reduce carbon emissions and improve the reliability of your business operations.

2. What kind of businesses can benefit from generator peak shaving?

Any business that experiences a surge in energy demand during peak periods can benefit from generator peak shaving. This includes restaurants, supermarkets, data centers, manufacturing, electricity storage facilities, and more.

3. How do you determine the right size of generator for peak shaving?

Determining the right size of generator for your peak usage shaving requires careful analysis of the facility’s energy usage patterns and peak demand. A qualified generator expert can help you determine the optimal size of the generator for your facility.

4. Can generator peak shaving be used for residential applications?

Yes, generator peak shaving can be used for residential applications, but it is typically more common in commercial and industrial settings.

5. Is generator peak shaving expensive to implement?

The cost of implementing generator peak shaving varies depending on the size and complexity of the system. However, in most cases, the cost of implementation is outweighed by the long-term savings and benefits.

6. How do you maintain a generator used for peak shaving?

A generator used for peak shaving requires regular maintenance to ensure optimal performance and reliability. This includes regular oil changes, filter replacements, and inspection of critical components. A qualified generator expert can help you develop a maintenance schedule that meets the specific needs of your generator.

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