On 1st April 2018, excess capacity charges will increase by around 200%. The agreed supply capacity (ASC) is the maximum supply a customer can use through their supply point. The agreed supply capacity is measured in kVA and the charges are set by the Distribution Network Operator for your area.
Current excess capacity charges are applied at the same level as the agreed supply capacity charges. This provides no incentive for businesses to increase the capacity to the surplus amount and means the Distribution Network Operators cannot recoup the additional costs that incur when customers exceed their capacity levels.
Agreed supply capacities can only be changed once a year, therefore it is important to get it right. If your capacity is too high, you could be paying unnecessarily high charges every month. At amber energy, we review 1-2 years’ worth of half hourly data and dependent on the business type would consider adding a buffer to minimise risk. We will make the application to the Distribution Network Operator and ensure your supplier implements any changes correctly.
Please get in touch with email@example.com to find out how your business might be affected and to carry out an agreed supply capacity review.