Explanation of Charges
For increased transparency, Montana-Dakota Utilities is now separately itemizing each Public Service Commission/Public Utilities Commission-approved charge on your bill. Each charge is separately listed, making it easy to compare them against the company’s tariff schedules, which are posted here.
BELOW IS A BRIEF SUMMARY OF THE CHARGES THAT COULD APPEAR ON A CUSTOMER BILL:
Basic Service Charge
A monthly or daily charge designed to recover a portion of the fixed costs incurred in providing utility service regardless of how much energy is used. Constant: A fixed value used to convert meter readings to actual energy use when certain equipment is used in the metering process such as current and potential transformers.
Cost of Gas
This charge recovers the cost of gas itself as well as other related costs Montana-Dakota incurs from its pipeline suppliers in providing natural gas service. The cost of gas is strictly a pass-through to customers, is subject to change on a monthly basis, and does not provide Montana-Dakota with a profit.
CTA – Conservation Tracking Adjustment
A charge that provides funding for commission-approved conservation programs.
A charge designed to recover the demand or peak-related costs associated with the delivery of electric service from the generation source to your meter.
Distribution Delivery Charge or Energy Charge
A volumetric charge to recover the costs of delivering energy to your meter. This amount varies with the amount of energy used.
DDSM – Distribution Delivery Stabilization Mechanism
A charge applicable to gas service designed to adjust for the over- or under-collection of distribution delivery revenues due to actual temperature deviations from normal temperatures. This adjustment is applicable during the billing periods Nov. 1-May 1.
Dk – Dekatherms
The Dk billed is reflective of the total amount of natural gas used in the billing period. The amount of natural gas used as measured by the gas meter is converted to Dk by applying a therm factor to the measured use in order to reflect the heating value of natural gas delivered.
Environmental Cost Adjustment
A charge per Kwh applicable to electric service associated with certain EPA required changes at Montana-Dakota’s generating stations. The Environmental Cost Adjustment is subject to change on an annual basis.
Fuel and Purchased Power
This charge recovers the fuel and purchased power costs the company incurs in supplying its customers with electricity. This cost is a pass-through to customers and is subject to change on a monthly basis.
Tax Tracking Adj
A charge to reflect changes in Montana-Dakota’s Montana state and local taxes, such as property taxes, including a true-up of taxes recovered to actual taxes paid.
A charge per Kwh or Kw for certain investments in electric power generation necessary to meet the requirements of Montana-Dakota’s electric service customers. The Generation Rider is subject to change on an annual basis.
Kw – Kilowatt
The Kw billed is the peak demand (or maximum 15-minute measured demand) for electricity during the billing period or the minimum Kw amount as stated in the company’s tariffs.
Kwh – Kilowatt-hour
The Kwh billed is the total amount of electricity used in the billing period.
A penalty applicable to a customer operating its facilities outside the power factor range stated on the company’s tariffs.
Power Supply Cost Adj
Adjustment per Kwh to reflect changes in the cost of fuel and purchased power the company incurs in supplying its customers with electricity. This adjustment is a pass-through to customers and is subject to change on an annual basis.
Renewable Resource Adj /Infrastructure Rider
A charge per Kwh for certain investments in renewable generation. The Renewable Resource Adj/Infrastructure Rider is subject to change on an annual basis.
TCA – Transmission Cost Adjustment
A charge per Kwh applicable to electric service for recovery of transmission-related expenditures and investments net of revenues received from others. The TCA is subject to change on an annual basis.
The therm factor adjusts the amount of natural gas measured by the meter for the heat content and atmospheric pressure of the gas delivered to a customer’s premise. This conversion ensures that all customers are billed based on the heat value of the gas during the applicable billing period.
USBC – Universal System Benefits Charge
A charge that provides funding for conservation and low-income programs.