Designing Your Time Of Use Rate Components

As you know from the rates chapter, the system can handle billing of quantities with different time of use periods using the SQ calculation rule type. Refer to How To Set Up Service Quantity Calculation Rule for more information. A more sophisticated rate component type is available, which can map interval profile data into time of use definitions and then apply prices based on time of use to produce multiple bill lines.

Obtain copies of existing bills that use the rate in question. If the rate is new, then write up EXACTLY how the information should appear on the customers' printed bills.

• Identify all the lines that represent charges for individual time of use periods.
• Determine how the quantities for the time of use periods are calculated. For example, what is the source data? Which time of use map is used to define the time periods? A TOU Pricing rate component type may be used to map each curve to its time of use quantities, apply time of use prices to mapped quantities or do both mapping and pricing. It all depends on how your algorithm is written.
  • In order to perform mapping, this rate component type needs to know where to get the interval data. You must indicate an Interval Profile Relationship Type (which is used to define the source data to map). Refer to Billable Interval Quantities for a Service Agreement for more information.
  • In order to perform mapping or pricing, this rate component type needs to know the classic TOU map. If the TOU map is common to ALL service agreements for the rate, you must indicate the appropriate TOU map. If the TOU map differs for different service agreements, you must indicate a TOU Map Relationship Type. The algorithms use this to find the appropriate classic TOU map linked to the service agreement.
  • In order to perform pricing, this rate component type requires either a regular bill factor or a TOU bill factor. The bill factor may contain the collection of prices directly, or may indicate that the prices are customer specific and can be found as contract quantities for the service agreement.
  • A calculation algorithm to map and / or price the quantities is needed. For mapping, this algorithm must apply the classic TOU map to the quantity curve and produce entries in the calculation/audit read details collection. For pricing, the algorithm will need to use the appropriate bill factor to apply prices to the quantities in the read details collection. If this bill factor is a TOU bill factor, a separate price exists for each time of use.

For our example, let's assume that curves exist for both active demand and reactive demand and assume each curve is mapped with a different classic TOU map. In addition, let's assume that excess demand used during a specific curtailment period will be priced at a different rate.

• For active demand, we have four time periods: on-peak winter, off-peak winter, on-peak summer and off-peak summer.
• For reactive demand, there are no charges in the winter so we have only two time periods: on-peak summer, off-peak summer. This classic TOU map is common to ALL service agreements for the rate.
• The curtailment charge will only appear if there is a curtailment event and the customer used more than their maximum demand defined for the period.

Resulting bill calculation lines from the above TOU mappings (assuming this bill crosses the summer and winter seasons and a curtailment event occurred).

Once you have your rate components designed, you will be able to design the other control tables needed to set up your time of use billing customer.