Common Industry Terms
Business-speak, common terminology... every industry has them, and the energy sector is no different. Understanding some common energy terms can help you ask your business prospects the appropriate questions and ensure you’re getting them the right answers when it comes to obtaining electric service.
- Amps (or Amperage)Amps (or Amperage) The measure of current or flow of electrons along a conductor, wire or cable.
- Volts (or Voltage)Volts (or Voltage) The potential of an electron to do work; used in sizing the delivery system. Typical voltages for manufacturing operations are 240 volts, 480 volts, 600 volts, 2,300 volts or 4,160 volts.
- Hours UseHours Use (kWh/kW) Reflects the hours of operation of a business (24/7 or 16/5, etc.)
- Three-phase PowerThree-phase Power Three-phrase power is commonly used for generation, transmission and distribution of electric power−in which the waveforms of three supply conductors are out of phase by one-third, or 120 degrees. Three-phase power is the most economical way to provide larger quantities of power−often to major equipment.
- Single-phase PowerSingle-phase Power Single-phase power is either a single alternating voltage or all voltages of the supply varying in unison. Single-phase is used for loads that are primarily lighting and heating, such as homes and small businesses.
- kWh ConsumptionkWh Consumption (kilowatt-hours) Electric energy consumed over time, used to calculate actual monthly bills.
- kW DemandkW Demand (kilowatt, or 1,000 watts) Average rate of energy consumption during specified time period (usually 15- or 30- minute intervals). Large-plant demand may be measured in megawatts (MW, or 1,000,000 watts). kW demand is used in billing and cost calculations.
- kVAkVA (kilovolt-amperes) Measurement of total maximum power required; used to size utility infrastructure (transformers).
- Power FactorPower Factor (p.f.) Ratio of actual power used (kW demand) to total power required (kVA). PF = kW demand/kVA. Customers may be required to meet minimum p.f. requirements to prevent impact to others on the system.
- Load FactorLoad Factor (LF) Ratio of average energy demand (load) to the maximum demand (peak load). LF typically calculated: actual KWh used/(peak demand X days in month X 24 hours).