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Rate/ Tariff & Plans Management (ONB-SC09)

Scenario 1 – Progressive Electricity Conservation Pricing

Scenario Description

Utilities are shifting from flat-rate electricity billing to progressive slab-based pricing, where per-unit rates increase with higher consumption. This approach balances affordability for essential usage while discouraging excessive consumption, aligning with regulatory mandates and sustainability goals.

Objective (Why)

  • Revenue Protection: Prevent ~$2.3M in annual leakage to flat-rate competitors.
  • Customer Fairness: Reduce billing complaints by offering affordable essential usage tiers.
  • Regulatory Compliance: Meet conservation pricing mandates now active in 8 states.
  • Sustainability & Brand Value: Strengthen ESG positioning by incentivizing reduced peak demand.

If Not Set – Business Impact

  • Financial Loss: ~$2.3M annual revenue erosion.
  • Customer Impact: 15% rise in billing complaints from low-usage households.
  • Regulatory Risk: Non-compliance fines and reputational damage.

Scenario Explanation - in short

A residential customer segment of 10,000 households averages 850 kWh/month.

  • Under flat-rate pricing ($0.11/unit) → Revenue = $93.5 per household, ~$935K/month.
  • Under progressive pricing (slab model) → Revenue = $100 consumption charges + $15 fixed fees = $115 per household, ~$1.15M/month.
  • Business Gain = ~$215K/month additional revenue, while still keeping first 300 units affordable at just $0.08/unit.


Audience (Why it Matters) - in short

  • CSM: Must explain to customers like Sarah how usage affects billing tiers, demonstrate cost savings opportunities through conservation, and help customers understand why per-unit costs increase at higher consumption levels
  • QA: Must validate slab calculations across all tier boundaries (especially at 300 and 600 kWh breakpoints), verify accurate rate application when usage spans multiple tiers, and ensure bill generation correctly itemizes tier-based charges
  • Engineers/Interns: Must understand progressive tier logic, automated rate calculation algorithms, and how the system determines which slab rates apply to specific usage ranges without manual intervention

Does it fit in SMART360

✅ Fits perfectly in SMART360. Here's the detailed implementation:

Step-by-Step Implementation:

  1. Create Progressive Residential Electricity Plan
    • Basic Details: Plan Name "Progressive Residential Electricity", Short Name "PRE", Monthly billing, 5% tax
    • Consumer Categories: Select "Residential" → "Single Family" + "Multi-Family"
    • Utility Services: Electricity
    • Rate Type: "Slab"
    • Rate Configuration:
      • Slab 1: From 0 To 300 units at $0.08/unit
      • Slab 2: From 301 To 600 units at $0.12/unit
      • Slab 3: From 601 To unlimited at $0.16/unit
    • Service Charges: Connection Fee $15.00 (Fixed, Service-Specific for Electricity)

The system's slab rate functionality perfectly supports unlimited consumption tiers with progressive pricing, and service charges can be configured as fixed amounts per the business rules.

Scenario 2 – Commercial Fixed Water Budget Planning

Scenario Description

In a fixed-rate pricing model, commercial customers are charged a set monthly amount for water services, independent of actual consumption. This model creates predictable revenue streams for the utility while providing businesses with cost stability and simplified budgeting.

Objective (Why)

  • Revenue Stability: Secure consistent monthly income regardless of seasonal consumption shifts.
  • Customer Retention: Help commercial customers (restaurants, small businesses, etc.) plan operating budgets with predictable utility costs.
  • Operational Simplicity: Minimize billing complexity and reduce disputes linked to fluctuating water usage.
  • Market Competitiveness: Differentiate by offering a straightforward pricing option that appeals to businesses focused on cost certainty.

If Not Set – Business Impact

  • Revenue Volatility: Water sales tied to seasonal business activity, leading to unstable monthly collections.
  • Customer Churn: Businesses frustrated by unpredictable bills may switch providers where choice exists.
  • Increased Complaints: Higher volume of billing disputes during peak consumption months.

Scenario Explanation - in short

For 1,000 commercial accounts like Green Valley Restaurant:

  • Fixed monthly charges: $180 (water) + $25 (delivery) + $8 (admin) = $213 per account.
  • Predictable Revenue = $213,000/month = $2.56M annually.
  • Compared to metered billing, where usage varies from 2,500–4,200 gallons per month, the fixed-rate approach avoids ~15–20% seasonal revenue swings and customer billing complaints.

Audience (Why it Matters) - in short

  • CSM: Must communicate to commercial clients like Green Valley Restaurant that bills remain constant regardless of usage variations, explain budgeting benefits of fixed pricing, and handle questions about cost-effectiveness during high-usage periods
  • QA: Must validate that fixed charges remain exactly $180.00 across all usage scenarios (from 1,000 to 10,000+ gallons), verify no consumption-based calculations affect final bills, and ensure billing system bypasses meter reading requirements
  • Engineers/Interns: Must understand that fixed rate logic completely bypasses consumption calculations, applies predetermined charges regardless of actual meter readings, and requires no usage validation or tier processing

Does it fit in SMART360

✅ Fits perfectly in SMART360. Here's the detailed implementation:

Step-by-Step Implementation:

  1. Create Commercial Fixed Water Plan
    • Basic Details: Plan Name "Commercial Fixed Water Plan", Short Name "CFWP", Monthly billing, 7% tax
    • Consumer Categories: Select "Commercial" → "Restaurant" + "Retail"
    • Utility Services: Water
    • Rate Type: "Fixed"
    • Rate Configuration: Fixed Rate $180.00 (consumption-independent)
    • Service Charges:
      • Delivery Charges $25.00 (Fixed, Common)
      • Admin Charges $8.00 (Fixed, Common)

The system's fixed rate type perfectly supports consumption-independent pricing, and the predefined service charges align with business requirements.

Scenario 3 – Multi-Utility Seasonal Bundle Plan for Mixed-Use Development

Scenario Description A utility company needs to create seasonal pricing plans that serve residential, commercial, and small industrial customers within the same mixed-use development with electricity, water, and gas services.

Objective (Why)

  • Business Goal: Maximize revenue during peak seasons while maintaining customer satisfaction across different consumer types and utility services
  • Consumer Goal: Provide cost-effective utility bundles that reflect actual seasonal usage patterns for apartments, retail spaces, and light manufacturing units
  • Operational Goal: Streamline billing processes by managing multiple utility services under unified seasonal plans rather than separate billing systems

If Not Set – Business Impact

  • Revenue Loss: Estimated 15-20% revenue shortfall during winter months when gas demand peaks but electricity usage drops, leading to misaligned pricing structures
  • Customer Dissatisfaction: Mixed-use developments like Harbor Point Complex experience 40% more billing complaints due to inconsistent pricing across different utility services and customer types
  • Operational Inefficiency: Billing department spends 60% more time managing separate tariffs for each utility service, resulting in delayed billing cycles and increased administrative costs

Scenario Explanation Harbor Point Development houses 200 residential units, 25 retail spaces, and 8 light manufacturing workshops. The utility company, Metro Utilities Corp, needs to create a comprehensive plan:

  • Residential customers (apartments): Average monthly usage - 450 kWh electricity, 1,200 gallons water, 85 therms gas
  • Commercial customers (retail): Average monthly usage - 1,800 kWh electricity, 3,500 gallons water, 120 therms gas
  • Small Industrial (workshops): Average monthly usage - 4,200 kWh electricity, 8,000 gallons water, 200 therms gas

Winter Season (Nov-Mar): Gas rates increase 25%, electricity rates decrease 10%, water remains flat Summer Season (Jun-Sep): Electricity rates increase 30%, gas rates decrease 15%, water increases 20% due to irrigation Standard Season (Apr-May, Oct): Base rates apply across all utilities

Sample Billing for Sarah Martinez (Residential, 2-bedroom apartment, January):

  • Electricity: 420 kWh × $0.108/kWh (winter discount) = $45.36
  • Water: 1,100 gallons × $0.0085/gallon = $9.35
  • Gas: 95 therms × $1.25/therm (winter premium) = $118.75
  • Total Utility Charges: $173.46 + Service Charges ($15.50) = $188.96

Audience (Why it Matters) CSM → Must explain how seasonal rates benefit customers during their preferred usage periods, handle complaints about rate fluctuations, and communicate bundle savings compared to individual service billing

QA → Must validate seasonal date transitions work correctly across all utility services, test rate calculations for each consumer category, and ensure billing accuracy when customers have mixed service usage patterns

Engineers → Must understand how seasonal multipliers apply to base rates across different utilities, implement logic for consumer category validation, and ensure system handles concurrent seasonal changes for multiple services

Does it fit in SMART360

Yes, this scenario fits perfectly in the SMART360 system. Here's the detailed implementation:

Step-by-Step Configuration:

  1. Create Base Plan - "Harbor Point Multi-Utility Seasonal"
    • Plan Name: Harbor Point Multi-Utility Seasonal Bundle
    • Short Name: HPMUSB
    • Description: Seasonal pricing for mixed-use development covering electricity, water, and gas
    • Billing Frequency: Monthly
    • Tax Type: Percentage (5.5%)
    • Start Date: January 1, 2025
    • End Date: December 31, 2025
  2. Configure Consumer Categories:
    • Residential → Single Family, Multi-Family
    • Commercial → Retail, Office Space
    • Industrial → Light Manufacturing, Warehouse
  3. Setup Utility Services:
    • Electricity: Rate Type = Seasonal, Rate Name = "Harbor Point Electric Seasonal"
    • Water: Rate Type = Seasonal, Rate Name = "Harbor Point Water Seasonal"
    • Gas: Rate Type = Seasonal, Rate Name = "Harbor Point Gas Seasonal"
  4. Configure Seasonal Tariffs: Electricity Seasonal Tariff:
    • Winter (Nov 1 - Mar 31): Base Rate $0.12 × 0.9 = $0.108/kWh
    • Summer (Jun 1 - Sep 30): Base Rate $0.12 × 1.3 = $0.156/kWh
    • Standard (Apr 1 - May 31, Oct 1 - Oct 31): Base Rate $0.12/kWh
    Water Seasonal Tariff:
    • Winter: Base Rate $0.0085/gallon
    • Summer: Base Rate $0.0085 × 1.2 = $0.0102/gallon
    • Standard: Base Rate $0.0085/gallon
    Gas Seasonal Tariff:
    • Winter: Base Rate $1.00 × 1.25 = $1.25/therm
    • Summer: Base Rate $1.00 × 0.85 = $0.85/therm
    • Standard: Base Rate $1.00/therm
  5. Service Charges Configuration:
    • Common Charges: Administrative Fee ($5.00), Account Setup Fee ($10.00)
    • Service-Specific: Electric Delivery ($3.50), Water Service Fee ($4.00), Gas Distribution ($3.00)

This implementation leverages SMART360's seasonal rate capabilities, multi-utility support, and consumer category management to create a comprehensive solution that addresses the complex billing needs of mixed-use developments.

Scenario 4 – Industrial Slab-Rate Water Treatment with Flat Gas and Electricity

Scenario Description Large industrial facilities require high-volume water usage with tiered pricing that encourages conservation, combined with predictable flat rates for electricity and gas operations.

Objective (Why)

  • Business Goal: Encourage water conservation among high-volume users while maintaining predictable revenue through flat utility rates for operational planning
  • Environmental Goal: Reduce industrial water consumption by 30% through progressive slab pricing that penalizes excessive usage
  • Customer Goal: Provide cost predictability for electricity and gas while incentivizing efficient water usage through transparent tiered pricing

If Not Set – Business Impact

  • Water Scarcity: Industrial district consuming 4.2M gallons monthly without conservation incentives, leading to municipal water shortage warnings
  • Regulatory Compliance: $125,000 in environmental fines for exceeding regional water allocation limits due to lack of usage-based pricing controls
  • Infrastructure Costs: Water treatment plant expansion costs $8.7M to meet unchecked industrial demand growth

Scenario Explanation Industrial Park East houses 35 manufacturing facilities including food processing, textiles, and chemical companies. Regional Utilities Authority implements conservation-focused pricing:

Food Processing Plant - Premium Foods Manufacturing: Monthly Usage: 185,000 gallons water, 28,500 kWh electricity, 1,850 therms gas

Water Slab Calculation:

  • Tier 1 (0-50,000 gallons): 50,000 × $0.006 = $300.00
  • Tier 2 (50,001-100,000 gallons): 50,000 × $0.009 = $450.00
  • Tier 3 (100,001-150,000 gallons): 50,000 × $0.013 = $650.00
  • Tier 4 (150,001+ gallons): 35,000 × $0.018 = $630.00
  • Water Total: $2,030.00

Flat Rate Calculations:

  • Electricity: 28,500 kWh × $0.092/kWh = $2,622.00
  • Gas: 1,850 therms × $0.89/therm = $1,646.50

Monthly Utility Total: $6,298.50 + Service Charges ($45.00) = $6,343.50

Chemical Plant - Advanced Materials Corp (High Usage): Monthly Usage: 425,000 gallons water, 67,500 kWh electricity, 3,200 therms gas

  • Water Cost: $8,950.00 (heavily penalized for high usage)
  • Electricity: $6,210.00
  • Gas: $2,848.00
  • Total: $18,008.00

Audience (Why it Matters) CSM → Must help industrial customers understand slab breakdowns, provide usage forecasting to optimize costs, and explain conservation strategies to reduce higher-tier penalties

QA → Must validate slab boundary calculations are precise, test edge cases where usage exactly matches tier limits, and ensure accurate cumulative billing across multiple slabs

Engineers → Must implement progressive slab logic with accurate tier calculations, configure warning alerts when customers approach higher-cost tiers, and integrate with industrial meter reading systems

Does it fit in SMART360

Yes, perfectly suited for SMART360's slab rate capabilities:

Configuration:

  1. Plan Setup - "Industrial Conservation Water Plan"
    • Consumer Categories: Industrial (Manufacturing, Processing, Chemical, Textile)
    • Utility Services: Water (Slab), Electricity (Flat), Gas (Flat)
  2. Water Slab Tariff Configuration:

Slab 1: 0 - 50,000 gallons = $0.006/gallon
   Slab 2: 50,001 - 100,000 gallons = $0.009/gallon  
   Slab 3: 100,001 - 150,000 gallons = $0.013/gallon
   Slab 4: 150,001 - No limit = $0.018/gallon
  1. Flat Rate Tariffs:
    • Electricity: $0.092/kWh
    • Gas: $0.89/therm
  2. Industrial Service Charges:
    • High Volume Water Processing: $25.00
    • Industrial Electric Connection: $15.00
    • Gas Safety Inspection: $5.00

Scenario 5 – Residential Community Seasonal Gas with Fixed Electricity and Slab Water

Scenario Description Residential communities require seasonal gas pricing for heating costs, predictable fixed electricity rates, and conservation-based slab water pricing to manage household budgets effectively.

Objective (Why)

  • Business Goal: Stabilize revenue through predictable electricity rates while capturing seasonal gas demand and promoting water conservation through tiered pricing
  • Customer Goal: Provide budget predictability for electricity, seasonal fairness for heating costs, and incentives for water conservation
  • Community Goal: Support affordable housing initiatives while encouraging responsible resource usage across different income levels

If Not Set – Business Impact

  • Affordability Crisis: 40% of residents in Maplewood Heights face utility disconnections during winter months due to unpredictable heating costs
  • Water Waste: Community consuming 150% above regional average due to lack of conservation pricing, straining local aquifer resources
  • Customer Complaints: 67% increase in billing disputes during seasonal transitions due to unclear rate structures and unexpected charges

Scenario Explanation Maplewood Heights residential community has 850 homes including single-family, townhomes, and senior living units. Community Power & Water implements balanced pricing:

Single Family Home - The Johnson Family (4 people, 2,200 sq ft):

Winter Month (January) Usage:

  • Electricity: 1,250 kWh × $0.115/kWh (Fixed) = $143.75
  • Gas Heating: 195 therms × $1.35/therm (Winter rate +25%) = $263.25
  • Water Slab Calculation:
    • Tier 1: 3,000 gallons × $0.0045 = $13.50
    • Tier 2: 1,500 gallons × $0.0068 = $10.20
    • Water Total: $23.70
  • January Total: $430.70

Summer Month (July) Usage:

  • Electricity: 1,850 kWh × $0.115/kWh (Fixed) = $212.75 (AC usage)
  • Gas: 45 therms × $0.95/therm (Summer rate -15%) = $42.75
  • Water (irrigation):
    • Tier 1: 3,000 gallons × $0.0045 = $13.50
    • Tier 2: 5,000 gallons × $0.0068 = $34.00
    • Tier 3: 2,800 gallons × $0.0095 = $26.60
    • Water Total: $74.10
  • July Total: $329.60

Senior Living Unit - Dorothy Chen (1 person, 650 sq ft):

  • Winter: $95 electricity + $125 gas + $18 water = $238
  • Summer: $125 electricity + $28 gas + $22 water = $175

Audience (Why it Matters) CSM → Must provide seasonal budgeting guidance, explain water conservation tier benefits, and help customers understand seasonal rate transitions and their impact on monthly bills

QA → Must test seasonal date transitions align with billing cycles, validate water slab calculations for edge cases, and ensure fixed electricity rates remain constant across all billing periods

Engineers → Must implement seasonal gas multipliers that activate automatically, configure water slab logic for residential usage patterns, and maintain fixed electricity rate stability regardless of usage fluctuations

Does it fit in SMART360

Absolutely, this leverages multiple SMART360 rate types simultaneously:

Configuration Steps:

  1. Community Plan - "Maplewood Balanced Utility Plan"
    • Consumer Categories: Residential (Single Family, Townhome, Senior Living, Apartment)
    • Services: Electricity (Fixed), Gas (Seasonal), Water (Slab)
  2. Rate Configurations: Fixed Electricity Tariff:
    • Rate Type: Fixed Rate
    • Unit Rate: $0.115/kWh (constant year-round)
    Seasonal Gas Tariff:
    • Winter (Nov-Mar): Base $1.08 × 1.25 = $1.35/therm
    • Summer (Jun-Sep): Base $1.08 × 0.88 = $0.95/therm
    • Standard (Apr-May, Oct): Base $1.08/therm
    Water Slab Tariff:
    • Tier 1: 0-3,000 gallons = $0.0045/gallon
    • Tier 2: 3,001-8,000 gallons = $0.0068/gallon
    • Tier 3: 8,001+ gallons = $0.0095/gallon
  3. Residential Service Charges:
    • Monthly Connection Fee: $12.50
    • Water/Sewer Base: $8.75
    • Gas Safety Fee: $3.25

Scenario 6 – Mixed-Use Development Time-Based Electricity with Seasonal Water and Fixed Gas

Scenario Description Urban mixed-use developments need sophisticated pricing that handles commercial peak demand, residential evening usage, and seasonal water demands while maintaining predictable gas costs.

Objective (Why)

  • Business Goal: Optimize electricity grid utilization through time-based pricing while managing seasonal water demand and providing gas cost stability
  • Developer Goal: Attract diverse tenants with flexible utility pricing that supports both commercial operations and residential living
  • City Planning Goal: Support sustainable urban development with pricing that encourages off-peak energy use and water conservation

If Not Set – Business Impact

  • Grid Instability: Mixed-use developments creating 45% peak demand spikes during 5-7 PM overlap of commercial closure and residential cooking/AC usage
  • Development Costs: $1.8M in additional transformer capacity needed due to unmanaged peak electrical demand from mixed-use buildings
  • Tenant Turnover: 28% higher vacancy rates in mixed developments due to unpredictable utility costs affecting both business and residential budgets

Scenario Explanation Urban Commons Plaza: 12-story building with ground floor retail, floors 2-4 offices, floors 5-12 apartments. Metro Utilities designs integrated pricing:

Restaurant - Corner Café (Ground Floor): Weekday Usage:

  • Peak Hours (5 PM - 9 PM): Dinner rush = 125 kWh × $0.32/kWh = $40.00
  • Standard Hours (7 AM - 5 PM): Lunch prep/service = 185 kWh × $0.16/kWh = $29.60
  • Off-Peak (9 PM - 7 AM): Cleaning, refrigeration = 95 kWh × $0.09/kWh = $8.55

Seasonal Water (Restaurant kitchen/cleaning):

  • Summer: 4,200 gallons × $0.0088/gallon = $36.96
  • Winter: 3,100 gallons × $0.0072/gallon = $22.32

Fixed Gas (Cooking equipment):

  • Year-round: 285 therms × $1.12/therm = $319.20

Daily Restaurant Total: $78.15 (electricity) + $1.23 (water) + $10.64 (gas) = $89.97

Office Suite - Tech Startup (3rd Floor, 2,500 sq ft):

  • Standard Hours (8 AM - 6 PM): $145.60 electricity
  • Off-Peak: $18.20 electricity
  • Water: $45.80 (summer), $38.50 (winter)
  • Gas: $95.40 (Fixed HVAC)
  • Monthly Office Total: $4,920 (summer) / $4,750 (winter)

Residential Apartment - Maria Rodriguez (8th Floor, 1BR):

  • Evening Peak (6 PM - 10 PM): Cooking, entertainment = 8.5 kWh × $0.32 = $2.72
  • Standard (7 AM - 6 PM, 10 PM - 11 PM): 12 kWh × $0.16 = $1.92
  • Off-Peak (11 PM - 7 AM): 6.5 kWh × $0.09 = $0.59
  • Monthly Apartment: $158.70 electricity + $28.50 water + $42.80 gas = $230.00

Audience (Why it Matters) CSM → Must handle complex billing inquiries from three different customer types, provide energy management consulting for commercial tenants, and explain rate structures to residential tenants

QA → Must validate time-based rates work correctly for overlapping business/residential peak hours, test seasonal water transitions across different usage patterns, and ensure fixed gas rates remain stable for all tenant types

Engineers → Must implement complex logic handling multiple rate types simultaneously, configure tenant-specific billing rules, and integrate with building-level sub-metering systems for accurate allocation

Does it fit in SMART360

Yes, this showcases SMART360's ability to handle complex multi-rate scenarios:

Advanced Configuration:

  1. Master Plan - "Urban Commons Multi-Tenant Plan"
    • Consumer Categories: Commercial (Restaurant, Retail, Office), Residential (Apartment, Loft)
    • All Utilities: Electricity (Time-based), Water (Seasonal), Gas (Fixed)
  2. Time-Based Electricity Tariff:
    • Off-Peak (9 PM - 7 AM, Weekends): $0.09/kWh
    • Standard (7 AM - 5 PM weekdays): $0.16/kWh
    • Peak (5 PM - 9 PM weekdays): $0.32/kWh
  3. Seasonal Water Tariff:
    • Summer (May - Oct): $0.0088/gallon (irrigation, cooling)
    • Winter (Nov - Apr): $0.0072/gallon
  4. Fixed Gas Tariff:
    • Year-round: $1.12/therm (predictable for HVAC, cooking)
  5. Mixed-Use Service Charges:
    • Commercial Electric Demand: $45.00
    • Residential Connection: $15.50
    • Building Management Fee: $8.00

Scenario 7 – Healthcare Campus Emergency Time-Based Rates with Critical Service Priority

Scenario Description
Hospital and medical facilities require specialized utility pricing that ensures power reliability during emergencies while managing costs through time-based rates and priority service classifications.

Objective (Why)

  • Business Goal: Provide cost-effective utility management for healthcare facilities while ensuring uninterrupted service during critical operations
  • Patient Safety Goal: Guarantee utility service priority during medical emergencies and maintain backup systems through specialized rate structures
  • Operational Goal: Balance energy costs across different medical departments while maintaining 99.99% service reliability

If Not Set – Business Impact

  • Patient Risk: Power interruptions during critical surgeries costing $2.3M in malpractice settlements and emergency generator fuel costs
  • Regulatory Violations: $450,000 in healthcare compliance fines for inadequate utility backup systems and service level agreements
  • Operational Costs: 35% higher utility expenses due to lack of time-based pricing optimization for non-critical hospital operations

Scenario Explanation Riverside Medical Campus includes main hospital, outpatient clinics, and administrative buildings. HealthCare Power Authority creates priority-based pricing:

Main Hospital - Riverside Regional Medical Center: Critical Operations (Surgery, ICU, Emergency): Priority Rate $0.18/kWh (guaranteed supply) Standard Operations (Patient floors, diagnostics):

  • Peak (2 PM - 6 PM): $0.25/kWh
  • Standard (6 AM - 2 PM, 6 PM - 10 PM): $0.14/kWh
  • Off-Peak (10 PM - 6 AM): $0.08/kWh

Daily Hospital Usage:

  • Critical: 2,400 kWh × $0.18 = $432.00
  • Peak: 1,800 kWh × $0.25 = $450.00
  • Standard: 3,200 kWh × $0.14 = $448.00
  • Off-Peak: 1,900 kWh × $0.08 = $152.00
  • Daily Electric: $1,482.00

Water (Sterilization, HVAC, patient care):

  • Medical Grade: 8,500 gallons × $0.0125/gallon = $106.25
  • General Use: 12,000 gallons × $0.0078/gallon = $93.60
  • Daily Water: $199.85

Gas (Central heating, kitchen, sterilization):

  • Priority Supply: 450 therms × $1.28/therm = $576.00

Daily Hospital Total: $2,257.85

Outpatient Clinic - Riverside Family Medicine:

  • Standard Hours: 180 kWh × $0.14 = $25.20
  • Off-Peak: 45 kWh × $0.08 = $3.60
  • Water: 850 gallons × $0.0078 = $6.63
  • Gas: 35 therms × $1.28 = $44.80
  • Daily Clinic: $80.23

Audience (Why it Matters) CSM → Must understand healthcare regulatory requirements, coordinate with facility managers on critical vs. non-critical power needs, and provide emergency billing support during disaster situations

QA → Must test priority rate switching during simulated emergencies, validate critical service rate protection works 24/7, and ensure billing accuracy for different service priority levels

Engineers → Must implement priority service logic that never fails, configure automatic emergency rate switching, and integrate with hospital management systems for real-time critical operation identification

Does it fit in SMART360

Yes, using SMART360's time-based rates with custom priority service configurations:

Specialized Configuration:

  1. Healthcare Plan - "Medical Priority Service Plan"
    • Consumer Categories: Healthcare (Hospital, Clinic, Medical Office, Laboratory)
    • Priority Classifications: Critical, Standard, Administrative
  2. Priority Electricity Tariff:
    • Critical Services (24/7 priority): $0.18/kWh (guaranteed)
    • Peak Standard (2 PM - 6 PM): $0.25/kWh
    • Standard Hours (6 AM - 2 PM, 6 PM - 10 PM): $0.14/kWh
    • Off-Peak (10 PM - 6 AM): $0.08/kWh
  3. Medical Water Tariff:
    • Medical Grade (sterilization): $0.0125/gallon
    • General Use: $0.0078/gallon
  4. Priority Gas Service:
    • Healthcare Priority: $1.28/therm (emergency supply guaranteed)
  5. Healthcare Service Charges:
    • Critical Service Guarantee: $150.00/month
    • Emergency Response Fee: $25.00/month
    • Medical Equipment Surcharge: $35.00/month

Scenario 8 – Agricultural Operations Seasonal Water Irrigation with Off-Peak Electricity Incentives

Scenario Description Agricultural operations need seasonal water pricing for irrigation cycles, time-based electricity rates to optimize equipment operation, and fixed gas rates for crop processing and heating.

Objective (Why)

  • Business Goal: Support agricultural productivity through seasonal pricing while encouraging off-peak electricity usage to balance grid demand
  • Farmer Goal: Reduce operational costs through strategic timing of irrigation and equipment usage while maintaining predictable processing costs
  • Environmental Goal: Promote sustainable farming practices through water conservation pricing and renewable energy usage incentives

If Not Set – Business Impact

  • Crop Loss: $1.2M annual losses due to inadequate irrigation pricing that discourages proper water management during critical growing seasons
  • Grid Strain: Agricultural peak demand during 12-4 PM coincides with commercial demand, requiring $800K in rural grid upgrades
  • Farm Bankruptcies: 15% of local farms face closure due to unmanaged seasonal utility costs and lack of off-peak incentives

Scenario Explanation Valley Agricultural District serves 125 farms including crop production, dairy operations, and food processing facilities. Rural Electric Cooperative creates farm-focused pricing:

Crop Farm - Martinez Family Orchards (450 acres almonds/walnuts):

Irrigation Season (April - September): Water Seasonal Pricing:

  • Peak Growing (May - August): 145,000 gallons × $0.0095/gallon = $1,377.50
  • Standard Season (April, September): 95,000 gallons × $0.0065/gallon = $617.50

Electricity Time-Based (irrigation pumps, processing):

  • Off-Peak Incentive (11 PM - 6 AM): 2,850 kWh × $0.065/kWh = $185.25
  • Standard (6 AM - 2 PM, 8 PM - 11 PM): 1,200 kWh × $0.12/kWh = $144.00
  • Peak Penalty (2 PM - 8 PM): 800 kWh × $0.28/kWh = $224.00

Fixed Gas (processing, heating):

  • Processing Equipment: 185 therms × $0.94/therm = $173.90

August Farm Total: $2,544.15

Dairy Operation - Sunset Valley Dairy (250 head cattle): Daily Operations:

  • Off-Peak Milking (4 AM - 6 AM, 10 PM - 12 AM): 380 kWh × $0.065 = $24.70
  • Standard Hours (cooling, feeding): 220 kWh × $0.12 = $26.40
  • Water (animal drinking, cleaning): 3,200 gallons × $0.0065 = $20.80
  • Gas (milk pasteurization): 95 therms × $0.94 = $89.30

Daily Dairy Total: $161.20

Food Processing Plant - Valley Nut Company:

  • Off-Peak Processing (12 AM - 8 AM): 1,850 kWh × $0.065 = $120.25
  • Standard Operations: 950 kWh × $0.12 = $114.00
  • Water (cleaning, processing): 8,500 gallons × $0.0095 = $80.75
  • Gas (roasting, drying): 445 therms × $0.94 = $418.30

Daily Processing: $733.30

Audience (Why it Matters) CSM → Must provide agricultural timing guidance for cost optimization, explain seasonal irrigation rates, and help farmers plan off-peak equipment schedules to maximize savings

QA → Must test seasonal water rate transitions align with growing seasons, validate off-peak electricity incentives work correctly for agricultural equipment, and ensure accurate billing for variable seasonal usage

Engineers → Must implement agricultural-specific rate logic, configure seasonal water multipliers based on growing cycles, and integrate with irrigation scheduling systems for optimal timing

Does it fit in SMART360

Perfect fit using SMART360's agricultural rate capabilities:

Implementation:

  1. Agricultural Plan - "Valley Farm Optimization Plan"
    • Consumer Categories: Agricultural (Crop Production, Dairy, Food Processing, Livestock)
    • Utility Services: Water (Seasonal), Electricity (Time-based), Gas (Fixed)
  2. Seasonal Water Irrigation Tariff:
    • Peak Growing (May 1 - Aug 31): $0.0095/gallon
    • Standard Season (Apr 1 - Apr 30, Sep 1 - Sep 30): $0.0065/gallon
    • Dormant Season (Oct 1 - Mar 31): $0.0045/gallon
  3. Agricultural Time-Based Electricity:
    • Off-Peak Incentive (11 PM - 6 AM): $0.065/kWh (38% discount)
    • Standard (6 AM - 2 PM, 8 PM - 11 PM): $0.12/kWh
    • Peak Penalty (2 PM - 8 PM): $0.28/kWh (avoid irrigation during peak)
  4. Fixed Gas Processing:
    • Agricultural Rate: $0.94/therm (stable for equipment planning)
  5. Farm Service Charges:
    • Rural Service Extension: $18.50/month
    • Agricultural Equipment Surcharge: $12.00/month
    • Seasonal Adjustment Fee: $8.75/month (peak season only)

Scenario 9 – University Campus Multi-Building Complex with Student Housing and Research Facilities

Scenario Description University campuses require complex utility management across dormitories, academic buildings, research facilities, and dining services with different usage patterns and budget constraints.

Objective (Why)

  • Educational Goal: Provide affordable utility services for student housing while supporting energy-intensive research and academic operations
  • Budget Management: Enable predictable utility costs for educational planning while encouraging conservation across different campus facilities
  • Research Support: Ensure reliable, cost-effective power for laboratories and specialized equipment while maintaining student affordability

If Not Set – Business Impact

  • Student Affordability: 23% of students face financial hardship due to unpredictable dormitory utility costs averaging $185/month above budgeted amounts
  • Research Disruption: $3.2M in grant funding at risk due to unreliable power supply and high costs for specialized laboratory equipment operations
  • Campus Sustainability: University fails to meet 2025 carbon neutrality goals due to lack of time-based pricing incentives for energy conservation

Scenario Explanation State University Campus serves 18,000 students across dormitories, academic buildings, research labs, and support facilities. Campus Utilities Authority designs educational pricing:

Student Dormitory - Residence Hall East (450 students): Per Student Monthly Allocation:

  • Electricity: 285 kWh × $0.095/kWh (subsidized rate) = $27.08
  • Water: 1,850 gallons × $0.0055/gallon (conservation rate) = $10.18
  • Gas (heating): 25 therms × $0.85/therm (student discount) = $21.25 Student Monthly Utility: $58.51

Research Laboratory - Advanced Materials Lab: Specialized Equipment Pricing:

  • Critical Research (24/7 equipment): 1,850 kWh × $0.135/kWh = $249.75
  • Standard Lab (9 AM - 6 PM): 950 kWh × $0.11/kWh = $104.50
  • Off-Peak (6 PM - 9 AM): 425 kWh × $0.075/kWh = $31.88
  • Specialty Water (lab processes): 2,200 gallons × $0.0085/gallon = $18.70
  • Gas (Bunsen burners, heating): 65 therms × $1.15/therm = $74.75

Monthly Lab Total: $479.58

Academic Building - Engineering Hall: Classroom and Office Usage:

  • Standard Hours (7 AM - 10 PM): 2,850 kWh × $0.11/kWh = $313.50
  • Off-Peak (10 PM - 7 AM): 850 kWh × $0.075/kWh = $63.75
  • Water (restrooms, labs): 8,500 gallons × $0.0068/gallon = $57.80
  • Gas (HVAC): 285 therms × $1.05/therm = $299.25

Monthly Building: $734.30

Dining Services - Campus Cafeteria: Food Service Operations:

  • Peak Meal (11 AM - 1 PM, 5 PM - 7 PM): 385 kWh × $0.15/kWh = $57.75
  • Standard Prep (6 AM - 11 AM, 2 PM - 5 PM): 520 kWh × $0.11/kWh = $57.20
  • Off-Peak (cleanup, refrigeration): 285 kWh × $0.075/kWh = $21.38
  • Food Service Water: 4,500 gallons × $0.0078/gallon = $35.10
  • Cooking Gas: 195 therms × $1.15/therm = $224.25

Daily Dining: $395.68

Audience (Why it Matters) CSM → Must coordinate with campus housing for student billing support, work with research administrators on lab equipment requirements, and provide educational outreach on conservation programs

QA → Must test student subsidy rate calculations, validate research equipment priority billing, and ensure academic building time-based rates align with class schedules

Engineers → Must implement student housing utility allocation systems, configure research facility priority power logic, and integrate with campus energy management systems

Does it fit in SMART360

Excellent fit using SMART360's multi-category rate management:

Campus Configuration:

  1. University Master Plan - "State University Campus Utility Plan"
    • Consumer Categories:
      • Residential (Student Housing, Graduate Housing)
      • Educational (Academic Buildings, Libraries)
      • Research (Laboratories, Research Centers)
      • Commercial (Dining, Bookstore, Admin)
  2. Student Housing Rates (subsidized):
    • Electricity: $0.095/kWh (20% below standard)
    • Water: $0.0055/gallon (conservation pricing)
    • Gas: $0.85/therm (student discount)
  3. Research Facility Rates:
    • Critical Equipment (24/7): $0.135/kWh
    • Standard Lab: $0.11/kWh
    • Off-Peak: $0.075/kWh
    • Specialty Water: $0.0085/gallon
  4. Academic Building Time-Based:
    • Standard (7 AM - 10 PM): $0.11/kWh
    • Off-Peak (10 PM - 7 AM): $0.075/kWh
  5. Campus Service Charges:
    • Student Housing Connection: $8.50/month
    • Research Equipment Surcharge: $45.00/month
    • Academic Building Base: $125.00/month
    • Campus Infrastructure Fee: $25.00/month


Scenario 10 – Commercial Time-Based Electricity Optimization

Scenario Description
A commercial electricity plan with time-of-use (TOU) pricing to reduce grid strain during peak hours while helping businesses lower costs by shifting usage to off-peak times.

Objective (Why)

  • Business Goal:
    Reduce grid congestion, improve system stability, and increase profitability by aligning prices with real-time supply costs.
  • Consumer Goal:
    Provide businesses with cost-saving opportunities by incentivizing them to adjust operations to lower-cost time windows.
  • Grid Goal:
    Achieve better load balancing by encouraging demand shifts away from peak hours, lowering reliance on costly peaker plants.

If Not Set – Business Impact

  • Lost Savings: Commercial customers collectively miss out on $890K annually in cost optimization.
  • Grid Strain: Peak-hour demand increases by 20%, raising risk of blackouts and costly emergency generation.
  • Competitive Loss: Utility risks losing 15 major commercial accounts to providers offering TOU flexibility.

Scenario Explanation – in short

Metro Office Complex consumes electricity across different periods:

  • Off-Peak (10 PM – 6 AM): 800 kWh × $0.08 = $64.00
  • Standard (6 AM – 4 PM, 8 PM – 10 PM): 1,200 kWh × $0.12 = $144.00
  • Peak (4 PM – 8 PM): 400 kWh × $0.18 = $72.00

📌 Usage Charges = $280.00
📌 Service Charges = $45 Delivery + $25 Distribution = $70.00
📌 Monthly Bill = $350.00

By shifting 200 kWh from peak to off-peak, Metro could save $20/month (~$240/year), demonstrating clear financial benefits from operational adjustments.

Audience (Why it Matters) – in short

  • CSM: Must coach commercial clients like Metro on time-period optimization and demonstrate how shifting loads can yield measurable savings.
  • QA: Must validate correct rate applications at hour boundaries (6 AM, 4 PM, 8 PM, 10 PM) and ensure usage timestamps map accurately to TOU slots.
  • Engineers/Interns: Must design time-slice billing logic, ensuring multiple daily transitions are handled without overlaps or conflicts.

Does it fit in SMART360?

⚠️ Partial Fit – supported but with gaps.

Current Capability:

  • Supports Time-Based Rate Type with multiple periods.
  • Fully supports commercial categories and service charges.

Gap Identified:

  • No system validation for time overlaps (e.g., duplicate or conflicting hours).
  • Risk of admin misconfigurations causing billing errors.

Step-by-Step Implementation in SMART360:

  1. Plan Setup
    • Name: Commercial Time-Based Electricity
    • Short Name: CTBE
    • Billing: Monthly
    • Tax: 8%
  2. Consumer Categories
    • Commercial → Office, Retail
  3. Utility Service
    • Electricity → Time-based
  4. Rate Configuration (manual validation required)
    • Off-Peak: 10 PM – 6 AM @ $0.08/unit
    • Standard: 6 AM – 4 PM, 8 PM – 10 PM @ $0.12/unit
    • Peak: 4 PM – 8 PM @ $0.18/unit
  5. Service Charges
    • Electric Delivery Rate = $45 (Fixed)
    • Distribution Charges = $25 (Fixed)

Recommendation for Product Enhancement:
Introduce time-slot overlap validation, similar to date overlap rules, to safeguard billing accuracy and avoid customer disputes.

Scenario 11 – Industrial Electricity Demand Management

Scenario Description A large industrial customer requires electricity pricing based on peak demand periods and total consumption patterns to optimize high-load operations and cost management.

Objective (Why)

  • Business Goal: Generate appropriate revenue from high-demand industrial users while providing demand-responsive pricing that encourages grid stability
  • Consumer Goal: Access specialized industrial pricing that fairly reflects actual electrical demand patterns and enables load management optimization
  • Grid Goal: Encourage industrial load management and peak demand reduction through demand-based pricing signals and peak period charges

If Not Set – Business Impact

  • Major Account Loss: Loss of 6 major industrial accounts representing $4.2M annually due to inability to provide demand-based pricing
  • Grid Instability: Unmanaged industrial demand peaks creating grid reliability issues and requiring emergency capacity investments
  • Revenue Gap: $880K annual revenue shortfall from inability to charge appropriate demand-based rates for high-load industrial customers

Scenario Explanation - in short Advanced Manufacturing Corp operates energy-intensive equipment requiring specialized demand pricing. Monthly breakdown: Peak demand charge: 2,500 kW × $8.50/kW = $21,250 (based on highest 15-minute demand period). Energy consumption: 450,000 kWh × $0.055/kWh = $24,750. Total electricity charges: $46,000. Service charges: Electric delivery rate $2,850, Distribution service charges $1,200, Capacity based recovery $750, Total regulatory charges $425. Monthly industrial bill: $51,225.

Audience (Why it Matters) - in short

  • CSM: Must explain demand charges versus energy charges to industrial customers like Advanced Manufacturing, help them understand how peak demand affects total costs, and provide load management guidance for cost optimization
  • QA: Must validate demand charge calculations based on peak kW measurements, verify energy consumption pricing accuracy across high-volume usage (450,000+ kWh), and ensure proper application of industrial-specific service charges
  • Engineers/Interns: Must understand demand-based pricing logic differs from consumption-only models, peak demand calculation processes, and how industrial pricing integrates both demand (kW) and energy (kWh) components simultaneously

Does it fit in SMART360

⚠️ Needs enhancement - SMART360 supports industrial rates but demand pricing requires customization:

Current Capability:

  • Consumer Categories: Industrial classification fully supported
  • High-volume consumption: Slab rates can handle 450,000+ kWh
  • Industrial service charges: Multiple predefined options available

Gap Identified:

  • Demand-based pricing (kW charges) not explicitly shown in rate types
  • System focuses on consumption (kWh) rather than demand (kW) pricing

Implementation Workaround:

  1. Create Industrial Electricity Demand Plan
    • Basic Details: Plan Name "Industrial Electricity Demand", Short Name "IED", Monthly billing, 6% tax
    • Consumer Categories: Select "Industrial" → "Manufacturing"
    • Utility Services: Electricity
    • Rate Type: "Slab" (for energy consumption)
    • Rate Configuration: Energy rate $0.055/kWh
    • Service Charges (including demand charges):
      • Peak Demand Charge $21,250.00 (Variable - calculated externally based on kW)
      • Electric Delivery Rate $2,850.00 (Fixed)
      • Distribution Service Charges $1,200.00 (Fixed)
      • Capacity based recovery $750.00 (Fixed)
      • Total Regulatory Charges $425.00 (Fixed)

Recommendation: Add dedicated "Demand-based" rate type to SMART360 for industrial customers requiring both kW demand charges and kWh consumption billing.

Scenario 12 – Residential Solar Net Metering Integration

Scenario Description A residential customer with solar panels needs net metering service that credits excess solar generation while providing backup grid electricity during insufficient solar production periods.

Objective (Why)

  • Business Goal: Support renewable energy adoption while maintaining grid infrastructure cost recovery and managing bidirectional energy flow
  • Consumer Goal: Maximize solar investment value through net metering credits while ensuring reliable backup electricity service
  • Environmental Goal: Incentivize distributed renewable generation while maintaining grid stability and fair cost allocation

If Not Set – Business Impact

  • Customer Defection: Loss of environmentally conscious customers to solar-friendly utilities offering comprehensive net metering programs
  • Revenue Loss: $320K annual revenue shortfall from customers installing solar with competitors providing better renewable integration
  • Regulatory Risk: Non-compliance issues as 12 states require net metering options for residential solar customers

Scenario Explanation - in short Green Family solar home manages bidirectional energy flow in March. Solar generation: 850 kWh fed back to grid. Grid consumption: 920 kWh drawn during cloudy days and nights. Net usage: 70 kWh × $0.095/kWh = $6.65. Grid backup availability charge: $25.00 (maintains grid connection). Solar interconnection fee: $8.50 (administrative costs). Administrative charges: $5.99. Total monthly bill: $46.14. During sunny months with excess generation, family receives credits reducing future bills.

Audience (Why it Matters) - in short

  • CSM: Must explain net metering calculations to families like the Greens, demonstrate how solar credits work during different seasons, and help customers understand grid backup charges apply even with solar generation
  • QA: Must validate net usage calculations (consumption minus generation), test solar credit applications for excess generation months, and verify proper handling of negative net usage creating billing credits
  • Engineers/Interns: Must understand net metering logic requires bidirectional energy flow tracking, solar credit calculation processes, and billing systems capable of handling both positive charges and negative credits

Does it fit in SMART360

⚠️ Significant gaps - SMART360 needs major solar/renewable enhancements:

Current Limitations:

  • No net metering or bidirectional energy flow capabilities
  • No solar generation credit calculation functionality
  • System designed for consumption-only billing models

Major Gaps:

  • Cannot handle negative usage months (excess solar generation)
  • No solar credit banking or carryover functionality
  • No bidirectional metering integration

Implementation Limitation: While basic service charges could handle interconnection fees, the core net metering functionality requires fundamental system architecture changes.

Recommendation: Major enhancement needed for renewable energy programs including:

  1. Bidirectional energy flow tracking
  2. Solar generation credit calculations
  3. Net usage billing (consumption minus generation)
  4. Credit banking for excess generation periods
  5. Seasonal credit carryover functionality

Workaround: Extremely limited - could use negative service charges for simple solar credits, but inadequate for true net metering requirements.

Scenario 13 – Prepaid Utility Payment Program

Scenario Description Customers need prepaid utility service where they pay in advance for estimated usage and service is automatically disconnected when credit balance reaches zero to eliminate bad debt risk.

Objective (Why)

  • Business Goal: Eliminate bad debt and collection costs through advance payment model while expanding service access to credit-challenged customers
  • Consumer Goal: Access utility service without credit checks or deposits through advance payment flexibility and usage control
  • Financial Goal: Improve cash flow through advance payment collection while reducing collection costs and bad debt write-offs

If Not Set – Business Impact

  • Bad Debt: $890K annual bad debt losses from customers with payment difficulties and credit challenges
  • Collection Costs: Additional $125K annually for delinquent account management, disconnect/reconnect services, and collection agency fees
  • Market Access: Loss of 450 potential customers who cannot qualify for standard credit terms but need utility service

Scenario Explanation - in short James Wilson has credit challenges and chooses prepaid electricity to avoid deposits and credit checks. Current prepaid balance: $125.00. Monthly usage estimate: 650 kWh × $0.095 = $61.75. Service charges: $18.50 delivery + $8.99 admin = $27.49. Estimated monthly cost: $89.24. Remaining balance after month: $35.76. System automatically sends low balance alert at $25.00 threshold. Service disconnects automatically if balance reaches $0.00, with reconnection available immediately upon payment.

Audience (Why it Matters) - in short

  • CSM: Must help prepaid customers like James Wilson understand balance management, provide usage monitoring guidance, and explain payment options to avoid service disconnection while maintaining positive customer relationships
  • QA: Must test prepaid balance calculations with real-time usage tracking, validate automatic disconnect thresholds ($0.00 balance), verify customer notification systems trigger correctly at low balance alerts ($25.00), and ensure immediate reconnection capability
  • Engineers/Interns: Must understand prepaid account logic requires real-time balance tracking against usage, automated service control based on account credits, and integration between billing calculations and service delivery systems

Does it fit in SMART360

⚠️ Major gap - SMART360 lacks prepaid functionality:

Current Limitations:

  • No prepaid account management or real-time balance tracking capabilities
  • No automated service disconnect/reconnect based on account balance
  • System designed for post-paid billing rather than pre-payment models

Major Enhancement Needed:

  • Real-time usage monitoring and balance deduction
  • Automated service control integration
  • Prepaid account management interface
  • Balance notification and alert systems

Recommendation: Significant development required for prepaid utility services including real-time metering integration, automated service controls, and prepaid account management functionality.


Scenario 14 – Green Energy Renewable Credits Program

Scenario Description Environmentally conscious customers purchase renewable energy credits (RECs) as an add-on to standard electricity service to support renewable energy development and reduce carbon footprint.

Objective (Why)

  • Business Goal: Generate additional revenue through renewable energy credit sales while supporting sustainability initiatives and customer environmental goals
  • Consumer Goal: Access carbon-neutral electricity options through renewable energy credits without installing personal solar equipment
  • Environmental Goal: Support renewable energy development through customer participation in REC programs and green energy funding

If Not Set – Business Impact

  • Customer Loss: Loss of 280 environmentally conscious customers to competitors offering comprehensive green energy programs
  • Revenue Gap: $156K annual revenue shortfall from missed renewable energy credit sales opportunities
  • Brand Impact: Reputational damage affecting customer acquisition in sustainability-focused market segments and corporate environmental goals

Scenario Explanation - in short Environmental advocate Susan Chen opts for 100% renewable energy credits for her home electricity. Standard electricity: 485 kWh × $0.098 = $47.53. Renewable energy credits: 485 kWh × $0.025 = $12.13 (REC premium). Service charges: Electric delivery rate $22.50, Distribution service charges $15.75, Green energy processing $3.99. Total monthly bill: $101.90. Susan receives certificate showing 485 kWh from renewable sources, supporting wind and solar development.

Audience (Why it Matters) - in short

  • CSM: Must educate customers like Susan Chen about renewable energy credits, explain environmental benefits and carbon reduction impact, and communicate additional costs for green energy options while emphasizing sustainability value
  • QA: Must validate REC calculations (485 kWh × $0.025), verify proper credit application to standard electricity usage, test accurate green energy billing components, and ensure environmental certificate generation
  • Engineers/Interns: Must understand renewable energy credit logic as consumption-based add-on service, environmental tracking integration for certificate generation, and billing systems that combine standard rates with REC premiums

Does it fit in SMART360

✅ Fits with service charge configuration in SMART360. Here's the detailed implementation:

Step-by-Step Implementation:

  1. Create Green Energy Renewable Credits Plan
    • Basic Details: Plan Name "Green Energy Renewable Credits", Short Name "GERC", Monthly billing, 5% tax
    • Consumer Categories: Select "Residential" → "Single Family" + "Multi-Family"
    • Utility Services: Electricity
    • Rate Type: "Fixed Rate" for standard electricity ($0.098/unit)
    • Service Charges:
      • Renewable Energy Credits $12.13 (Variable - calculated as 485 kWh × $0.025)
      • Electric Delivery Rate $22.50 (Fixed)
      • Distribution Service Charges $15.75 (Fixed)
      • Green Energy Processing $3.99 (Fixed)

RECs can be implemented as variable service charges based on kWh consumption, while green energy processing fees use fixed service charges.


Scenario 25 – Multi-Unit Property Bulk Billing Management

Scenario Description Property management companies need master-metered utility billing for apartment complexes with cost allocation methodology to individual units based on square footage or occupancy.

Objective (Why)

  • Business Goal: Serve multi-unit residential market segment through bulk billing solutions while reducing individual metering infrastructure costs
  • Consumer Goal: Enable property managers to efficiently allocate utility costs among tenants through master metering and fair allocation methods
  • Infrastructure Goal: Reduce metering infrastructure costs through master meters while maintaining fair cost distribution among unit occupants

If Not Set – Business Impact

  • Market Share: Loss of 45 property management accounts representing $1.8M annually in multi-unit residential utility revenue
  • Segment Gap: Inability to serve growing multi-unit residential market segment with appropriate billing solutions
  • Competitive Loss: Property managers choose competitors offering comprehensive bulk billing and allocation support services

Scenario Explanation - in short Sunset Apartments (24 units) receives master meter billing for entire complex. Total complex usage: 28,500 kWh × $0.092 = $2,622.00. Complex service charges: $185.00. Total master bill: $2,807.00. Property manager allocation per unit: Simple average: $2,807.00 ÷ 24 = $116.96. Square footage allocation: 1BR units (650 sq ft) = $98.50, 2BR units (850 sq ft) = $128.75, 3BR units (1,100 sq ft) = $166.50. Property manager handles individual tenant billing and collection.

Audience (Why it Matters) - in short

  • CSM: Must work with property managers like Sunset Apartments to explain master billing concepts, coordinate allocation methodologies, and support property management billing responsibilities while maintaining utility service relationships
  • QA: Must validate master meter billing calculations for entire complex usage (28,500 kWh), ensure proper integration with property management systems, and verify complex-level service charge applications without individual unit complications
  • Engineers/Interns: Must understand bulk billing logic for master-metered properties, property management billing interfaces, and complex-level service delivery without individual unit meter management or tenant relationship handling

Does it fit in SMART360

⚠️ Partial fit - SMART360 can handle master billing but lacks unit allocation features:

Current Capability:

  • Large commercial billing supports bulk usage (28,500 kWh)
  • Complex-level service charges can be applied ($185.00)
  • Master meter billing calculations work correctly

Implementation:

  1. Create Multi-Unit Property Bulk Billing Plan
    • Basic Details: Plan Name "Multi-Unit Property Bulk Billing", Short Name "MUPB", Monthly billing, 6% tax
    • Consumer Categories: Select "Commercial" → "Property Management"
    • Utility Services: Electricity (or multiple utilities)
    • Rate Type: Appropriate for bulk usage (Fixed or Slab)
    • Service Charges: Property management fees and delivery charges

Gap: No built-in unit allocation or sub-metering functionality for individual tenant billing.

Workaround: Property manager handles tenant allocation and individual billing outside SMART360 system using their own allocation methodology and billing software.

Recommendation: Master billing works effectively in SMART360, but tenant allocation requires external property management tools and processes.

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