Apartment Cost Savings: Are you spending too much for utilities?
12/22/2011 11:50 AM
Submitted by J. Debes
In October 2010, the Public Service Commission quietly approved an increase in delivery charges for SC3 (large transportation service - 35,000 therms or more) accounts. Most apartment communities providing heat likely have SC3 accounts. The change in delivery fees increased from a minimum of $400 for the first 1,000 therms to $1,000 for the first 1,000 therms. In essence, for each meter the delivery fees increase by almost $7K per annum. Across a larger portfolio, these fees add up to a substantial amount of money. In changing the service categories to SC5 (small transportation service), one would pay slightly more for the gas itself but save thousands on the delivery fees. For one of our property management clients, we estimate that we saved some $200K/annum by adjusting the service categories for these accounts.
<<Back to the Blog