Notesale: Turn your study into money

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Kilowatt is refers to the amount of electricity consumed ,it is the unity of energy
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The
term Fixed rate I s refers to the pledge that the price cost of energy will not go up for
a period of time
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It is not depend s upon
the quantity of energy used by consumers has to share equal load of the capital
investment
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Consumers are grouped under different categories
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This different rate are
decided accordingly to the consumers , their load, and load forces
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For
instance if a particular group is charged at certain rate , the customers can
easily decide whether they can afford group or not
• Quantity of services
• Fla rate put the focus on production
DISADVANTAGES OF FLAT RATE TARIFF
• The are no incentives for the customers
• Expensive
• Since consumers are categorised in group and the consumers on same group
are charged at the same price
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one each block
per unit tariff is fixed
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it is divided into two
parts fixed charged and running charge
Fixed it depend upon maximum demand of consumer while running it depends upon
the energy consumed
FACTORS THAT AFFECT THE PRICE OF ELECTRICITY
• Regulation : in some state , public service commission fully regulated
electricity prices
• Peak load and seasonal Variation: The hotter the weather the high the
demand for cost
• Power plants: Each power plant has construction , maintenance and operating
costs
• Transmission ,Distribution and fuel



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