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APPLICATION OVERVIEW This artical is also available as a 'pdf' file - Application Overview The Adobe Acrobat Reader is
available for free download. Product description PowerProvider, developed by Sustainable Control Systems, enables electricity to be sold to consumers with low electricity consumption levels, on a secure and affordable basis. It provides significant capital and running cost advantages over conventional kilowatt-hour meters and additional benefits including demand-side management. With PowerProvider, the consumer is allowed to draw a current up to a prescribed limit at all times, for which they pay a fixed monthly fee. If the current exceeds the prescribed limit the PowerProvider automatically disconnects the supply. Whereas other load-limiting devices must be manually reset, PowerProvider automatically resets, and can therefore be mounted in an inaccessible place, such as on the service pole. This reduces problems with electricity theft through bypassing. Further technical information is given in the technical overview.
Advantages Low revenue collection
costs Revenue collection costs are very significant for supplies to consumers who use very little electricity. For such supplies, the cost of conventional meter reading, billing, collection and administration is similar to the amount of revenue collected, even without considering the costs of generating the electricity and maintaining the network or the initial capital costs. The cost of revenue collection is reduced substantially by using PowerProviders instead of meters because, since payments are fixed, there is no need for meter reading or billing, and accounting is easier. Low initial capital cost PowerProviders cost less than standard electricity meters, are cheaper to install and are supplied pre-calibrated. Reduced supply-side costs PowerProviders are effective in demand-side management, as they limit the maximum power that the consumer draws from the supply. Widespread use of PowerProviders instead of meters can result in substantial savings on transmission, distribution and generating equipment. Reduction in theft of electricity Since PowerProvider is pole-mountable, any attempt to bypass the device will be difficult as well as clearly visible to the electricity company. Payments made in advance Bills for PowerProvider customers can be made payable in advance since the amounts are fixed. This improves cash flow for the electricity company. Easier budgeting for consumers The fixed monthly payments for a PowerProvider supply make budgeting easier for the consumer and reduce the likelihood of defaulting on payments. An annual advance payment option can be offered, to enable rural consumers to pay for their supply when income is generated at harvest time. Load forecasting and control Demand forecasting is eased when the majority of customers are supplied by PowerProviders. Supply overloading can be controlled by allowing upgrades to higher capacity PowerProviders only if sufficient capacity exists. Common concerns Lack of acceptance by consumers Consumers will subscribe to a load-limited supply in preference to a metered supply if there is a clear financial benefit (see below). This has been proven in Zimbabwe where approximately 40% of consumers choose a load-limiter rather than a meter. Uneconomical use of electricity The limited life of electrical appliances discourages excessive use. In Zimbabwe measurements have shown that consumers typically use just 24 to 29% of the electricity available to them. Comparison with prepayment metering
systems Prepayment metering systems have a much higher capital cost than Power Provider supplies, as the meters are very expensive and there are the additional costs of the prepayment sales points and computer system. In addition, the management of a prepayment system must be much more rigorous as inoperative sales points will prevent many customers from obtaining electricity. Tariff setting and management It is important that customers can see that there is a clear financial benefit from subscribing to a load-limited supply. The approach taken in Zimbabwe, which has proven to be very effective, is to set the tariff for the smallest load-limiter, in this case a 1 Amp supply, at the same level as the fixed monthly charge for a metered supply. As the metered consumer is also charged for kilowatt hours used, the load-limiter is clearly the cheaper option. Customers subscribing to a PowerProvider supply should be given leaflets indicating which appliances can be connected without exceeding the current rating. The electricity company can prevent overloading of the supply by reserving the right to provide upgrades to higher current ratings of PowerProvider only if sufficient supply capacity exists. |
