TEG Podcast

FERC Order 2222 and DER Aggregation (Part 1 of 2) is about turning distributed energy resources at commercial and industrial facilities into revenue‑generating assets by giving them structured access to wholesale electricity markets through aggregators. This episode explains what the order actually does, what counts as a DER, and how C&I operators fit into the aggregation model.This is Energy Decision #08 in the complete C&I energy management series from Tactical Energy Group. 100 decisions. Every one that matters.In this episode, Daniel Burke covers:• What FERC Order 2222 changes in wholesale electricity markets for distributed energy resources• Which assets at C&I facilities qualify as DERs: batteries, CHP, backup generators, rooftop solar, flexible loads, and more• How DER aggregation works, why minimum bid size matters, and where the 100 kW threshold fits• The role of the DER aggregator in technical integration, market interface, optimization, and risk management• Core wholesale market categories: energy, capacity, and ancillary services like frequency regulation• Revenue ranges for capacity payments, regulation services, and demand charge reduction, plus typical aggregator revenue share• Key risks: operational constraints, loss of direct control, performance penalties, cybersecurity exposure, and regulatory uncertainty• A seven‑step implementation sequence from DER audit to contract negotiation and ongoing monitoringWho this is for: plant managers, facility managers, superintendents, COOs, and energy managers at manufacturers, data centers, hospitals, universities, large retail, and municipalities who want to know, “how does FERC Order 2222 affect my facility” and whether wholesale market access is worth the complexity.If you're trying to figure out how to strategically aggregate distributed energy resources so your operation can participate in wholesale markets and optimize energy costs under FERC Order 2222, this episode is built for you.Read the full breakdown on FERC Order 2222 and DER Aggregation (Part 1 of 2) at tacticalenergygroup.com/ferc-order-2222-and-der-aggregation-part-1-of-2.If you're an Indiana C&I operator actively evaluating this decision, get your free Energy Decision Blueprint at blueprint.tac-nrg.com.Visit tacticalenergygroup.com for more practical tools and the Energy Decision Blueprint for qualified Indiana C&I operators.

Utility Standby Charges for On-site Generation (Part 1 of 2) are the fees you pay your utility to be “on call” when your on-site generation cannot carry your full load, and they can make or break the economics of a project if you ignore them.This is Energy Decision #7 in the complete C&I energy management series from Tactical Energy Group. 100 decisions. Every one that matters.In this episode, Daniel Burke covers:What utility standby charges are and when they apply for on-site generationWhy utilities levy standby, supplemental, and backup service charges on C&I customersThe main standby charge types: contract demand, ratcheted demand, supplemental demand, and maintenance demandHow reservation capacity can be set from contract demand, nameplate capacity, or historical peak demandWhy standby charges exist from the grid’s perspective and how they relate to reliability and cost allocationHow high standby charges can erode the ROI of solar, CHP, or other distributed energy resourcesCommon misunderstandings about standby charges, net metering, and “not paying the utility”Key metrics to track: standby demand rate, reserved capacity, peak grid import, generator capacity factor, and standby as a share of your billWhy it is essential to read the actual tariff and verify how your utility is interpreting standby for your projectThe groundwork you must lay before you ever sign an on-site generation feasibility study or contractWho this is for: facility leaders, plant managers, COOs, energy managers, and consultants at commercial and industrial facilities, manufacturers, data centers, hospitals, and educational institutions who are planning or already running on-site generation and want to avoid ugly surprises on the utility bill.If you're trying to figure out how to minimize utility standby charges while maximizing the benefits of your on-site generation system, this episode is for you.Visit tac-nrg.com to learn more and get practical tools for your facilities.0:00 – What are utility standby charges for on-site generation?3:45 – Why utilities charge standby, supplemental, and backup fees9:20 – Contract demand, ratcheted demand, supplemental and maintenance demand16:05 – How reservation capacity can be based on nameplate, contract, or historical peaks22:40 – When on-site generation still wins even with standby charges29:15 – Common misunderstandings about standby charges and net metering35:10 – The key metrics every operator should track for standby exposure41:30 – How to pressure test your standby treatment against the actual tariff48:20 – Morning huddle questions and how the Energy Decision Blueprint helps with standby

Fixed vs. Variable Charges sit at the center of how your commercial electricity rate behaves and how predictable your energy budget actually is.This is Energy Decision #6 in the complete C&I energy management series from Tactical Energy Group. 100 decisions. Every one that matters.In this episode, Daniel Burke covers:The basic bill components: energy charges, demand charges, and fixed chargesWhat “fixed charges” really are on a commercial utility billWhat counts as variable charges: energy charges, fuel riders, and other per‑kWh itemsHow demand charges, time‑of‑use (TOU), and demand ratchets fit into fixed vs. variable thinkingThe difference between bundled and unbundled utility rates for C&I operatorsWhy load factor is the master metric tying kW and kWh togetherWhen more fixed cost can actually help budget predictabilityWhen exposure to variable charges creates damaging budget volatilityWhy “fixed is good, variable is bad” (or the reverse) is the wrong questionA practical process to analyze your rate structure and choose what fits your operationWho this is for: plant managers, facility managers, COOs, energy managers, and finance leaders at commercial businesses, industrial facilities, manufacturers, educational institutions, healthcare providers, and retail operations who are trying to balance energy cost savings with budget predictability.If you're asking which commercial utility rate structure, fixed or variable, offers the best balance of cost savings and budget predictability for your operation, this episode is for you.Visit tac-nrg.com to learn more and get practical tools for your facilities.Chapters00:00 Understanding Electric Bills: Fixed vs. Variable Charges02:46 Decoding Fixed and Variable Charges05:32 Demand-Based vs. Power-Only Rates08:25 When Fixed Charges Benefit Operations11:29 The Role of Load Factor in Rate Structures14:17 Practical Steps for Analyzing Rate Structures16:59 Strategic Advantages in Understanding Utility Rates20:13 Energy Decision Blueprint for Rate Decisions

Fuel Adjustment Charges and Riders (Part 1 of 2) are variable line items on commercial and industrial electricity bills that pass through changing fuel costs and can create serious budget volatility if you are not tracking them.This is Energy Decision #5 in the complete C&I energy management series from Tactical Energy Group. 100 decisions. Every one that matters.In this episode, Daniel Burke covers:Fuel Adjustment Charges (FACs) and riders and where they show up on your utility billHow base fuel costs are set in a rate case and why FACs exist on top of base ratesHow utilities calculate FAC rates and apply them as cents per kilowatt-hourWhy FACs create budget volatility and planning headaches for manufacturers and other C&I customersCommon misconceptions about FACs, including whether utilities “profit” from themKey metrics to track: FAC rate, share of total bill, generation mix, and commodity trendsHow utility asset decisions can overexpose you to volatile fuel costsPractical steps to start tracking FAC behavior over time in your own operationWhen fuel adjustment charges are a relatively small nuisance versus a serious competitive disadvantageHow to think about mitigation options that will be covered in Part 2Who this is for: plant managers, facility managers, superintendents, COOs, and energy managers at manufacturers, commercial real estate portfolios, data centers, educational institutions, and healthcare facilities who are tired of unpredictable fuel adjustment charges wrecking their electricity budgets.If you're trying to figure out how to mitigate the financial impact of fluctuating fuel adjustment charges on your energy budget, this episode is built for you.Visit tac-nrg.com to learn more and get practical tools for your facilities.If you're getting ready to put your name on a major energy project and need to make sure it's right, sign up for our Energy Decision Blueprint before you submit your business case. Get your Energy Decision Blueprint here: TAC-NRG Energy Decision Blueprint0:00 – What are fuel adjustment charges and riders on C&I bills?3:40 – Why utilities use fuel adjustment mechanisms on top of base rates8:15 – How fuel adjustment rates are calculated and applied per kilowatt-hour13:05 – Why FACs create budget volatility for manufacturers and other C&I operators18:50 – Common misconceptions about fuel adjustment charges and riders24:20 – Key metrics to track for fuel adjustment charges and bill exposure29:10 – When fuel adjustment charges reflect good asset management vs ideological choices34:30 – First steps this week to understand your facility’s exposure to fuel adjustment charges38:55 – Morning huddle questions and how the Energy Decision Blueprint helps with FAC exposure

Power factor penalties are one of the least understood and most overlooked charges on a commercial and industrial electricity bill — and for facilities running inductive loads like motors, transformers, and HVAC systems, they can add thousands of dollars monthly to a bill the operator has never been shown how to read.This is Energy Decision #04 in the complete C&I energy management series from Tactical Energy Group. 100 decisions. Every one that matters.In this episode, Daniel Burke covers:— What power factor is and how real power (kW), reactive power (kVAR), and apparent power (kVA) create the financial exposure most C&I operators never see coming— The three primary utility penalty mechanisms for low power factor: percentage surcharges on demand, excess kVA billing, and kVARh charges— and how each inflates your monthly bill— Why a facility measuring 1,000 kW of real power at 80 percent power factor may be billed for 1,250 kW of demand and what that costs annually— How poor power factor artificially inflates billed demand above metered demand, increasing your all-in cost per kilowatt-hour— The real-world benefits of power factor correction: eliminated penalties, reduced kVA demand charges, increased transformer and switchgear capacity, reduced I²R losses, and extended equipment lifespan— The four types of correction equipment— fixed capacitors, automatic power factor correction banks, detuned filter banks, and active harmonic filters — and how to select the right one for your facility's load profile— Why harmonic analysis is non-negotiable before installing any capacitor bank, and what happens when it is skipped— The overcorrection risk: why 100 percent power factor is not the target, and why a leading power factor can trigger its own utility penalties— The most dangerous and least discussed post-installation failure: capacitor banks off at the breaker while power factor penalties continue to accrue undetected for months— Why utilities have a structural financial incentive to never help their C&I customers correct power factor — and what that means for your energy management strategyWho this is for: plant managers, facility managers, COOs, maintenance directors, and energy managers at manufacturing plants, chemical facilities, cold storage operations, and large industrial facilities who want to understand whether their utility rate penalizes low power factor and whether correction would materially reduce their monthly electricity costs.If you are trying to understand how to effectively identify, calculate, and implement power factor correction strategies to eliminate utility penalties and optimize electricity costs in your facility, this episode is built for you.Read the full breakdown on Power Factor Penalties and Correction Strategies at tac-nrg.com/power-factor-penalties-correction.If you're an Indiana C&I operator actively evaluating this decision, get your free Energy Decision Blueprint at blueprint.tac-nrg.com.Visit tac-nrg.com to learn more and get practical tools for your facilities.

If you run a plant, hospital, school system, municipality, or large commercial facility and you’ve ever wondered why your billed demand is higher than what the meter shows, this episode is for you. In Part 1 on demand ratchets, we break down what they are, how they actually work on your bill, and why one short peak can inflate your costs for months. By the end, you’ll know when ratchets hurt you, what metrics to watch, and how to start treating them as a manage‑able cost instead of an untouchable mystery.Energy Decision Blueprint -- Get It Here: https://tacticalenergygroup.manus.space/

If you run a manufacturing plant, cold storage facility, school system, hospital, municipality, or large commercial operation and you’re being pushed toward a Time-of-Use (TOU) rate, this episode is for you. We’ll decode what TOU really is, when it clearly helps, when it quietly inflates your costs, how to use monitoring to see the truth, and the exact vendor questions that smoke out sloppy proposals. By the end, you’ll know whether TOU is a real play for your facility and what to ask before you sign anything.Energy Decision Blueprint -- Get It Here: https://tacticalenergygroup.manus.space/

Energy Decision Blueprint -- Get It Here: https://tacticalenergygroup.manus.space/If demand charges are the biggest mystery line on your electric bill, this episode is for you. Daniel Burke breaks down demand charges in plain English: what they are, how they show up on commercial & industrial bills, and why one ugly fifteen‑minute peak can drive a huge chunk of your energy costs for the month.By the end of this “Demand Charges Explained: How to Understand and Reduce Them (Part 1)” episode, you’ll know how to read demand on your bill, how load factor actually works, and what to ask vendors before you ever sign a project that claims to “reduce your demand.”In this episode, Daniel covers:What demand charges are and how they’re different from energy charges on a C&I electricity billThe relationship between kilowatts (kW), kilowatt‑hours (kWh), and load factorHow a single fifteen‑minute peak can set your demand charges for the whole monthWhy demand charges can be 30–70% of a commercial or industrial electric billHow demand ratchets and different demand structures (max, non‑coincident, time‑of‑use, daily) lock in higher costsWhy simply “using less energy” often doesn’t fix the bill if you ignore demandThe role of real‑time energy monitoring and visibility in managing peak demandWhere tools like battery energy storage, demand response, and equipment sequencing actually help — and where they don’tHow to think about all‑in cost per kilowatt‑hour instead of chasing random line itemsFour operator questions that smoke out vendor BS before you write a checkWho this is for:Plant managers, facility managers, COOs, superintendents, and energy managers at manufacturers, hospitals, school systems, data centers, large retail, and municipalities who are tired of being surprised by their bill and want clear, numbers‑first guidance on reducing demand charges without risking operations.If you want help turning your own demand charges, load factor, and interval data into a clear plan, visit tac-nrg.com and get practical tools and support for your facilities.And if this episode helps you see your bill more clearly, send it to one other operator who’s fighting the same demand‑charge headache. *Energy Decision Blueprint: www.tac-nrg.com