Vernon Electric Cooperative - Products & Services

Dual Fuel Program

Dual Fuel is a plan whereby you can add a second heating system to your current system and gain the comfort and security of electric heat at a special low electric rate.

The system comprises two fuel sources - electricity as the primary system - and an alternate fuel such as LP gas or fuel oil as the secondary source. If you presently have an electric system you can still benefit by oil or LP. If you have an oil or LP furnace or boiler, you can benefit by adding an electric system.

Your dual fuel system is then connected by a radio control to the central control station. During peak periods, when demand for electricity is highest, a dispatcher can switch your home heating system from electric to the secondary fuel for a few hours. Another signal will switch your home back to electric heat.

How can Dual Fuel save me money?
On a few peak days during the winter and summer, the demand for electricity is highest. More resources and equipment must be used by Dairyland Power to generate the needed electricity and this causes increased power costs. Installing dual fuel systems in as many homes as possible can significantly reduce these costs and allow for better "Load Management." Therefore Vernon Electric Cooperative can offer a lower rate for Dual Fuel users, and every member benefits.

Why is load management so important?
Electricity cannot be stored and must be produced at the time it is used. Power plants, transmission lines, substations and distribution lines must be built to meet the peak demand for electricity. Load management is a technique whereby electric utilities can reduce peak demand. This means reduced cost for all electric facilities, now and in the future, and improved efficiency for existing facilities.

How is the load actually controlled?
Dairyland Power Cooperative operates a special network of 71 radio transmitters which send out load control signals at peak energy use time. These signals are received by a special load management control located at the consumer's premises.

If your electric water heater is presently being controlled by the load management system, the same receiver can control your heating system. Water heaters and Dual Fuel are controlled on different schedules, but the same receiver can handle both systems.

What the Dual Fuel Program can do for you and your country

  • Save you on home heating costs.
  • Increase the efficiency of electrical distribution.
  • Help defer future rate increases through deferral of constructing additional generation capacity.
  • Help reduce U.S. dependence on foreign oil.
  • Improve the cleanliness, comfort level, and safety of your home.

Help yourself, help your neighbors
The escalating cost of fuel, new construction and inflation will continue to play a major role in our energy costs. Just how fast and by how much costs will rise depends on each of us. By better insulating our homes, wiser personal use of energy and through programs like Dual Fuel, we can help eliminate the threat of an energy shortage now. Participate in the Dual Fuel Program and encourage your neighbors and friends to join you. Together, we can all help control power costs for now and the future.

Comparative Energy Costs for Space Heating
Electricity
(Cents/kWh)
Fuel Oil
($/Gal.)
Propane
($/Gal.)
4.21.031.01
4.41.081.06
4.61.131.11
4.81.181.16
5.01.231.21
5.21.291.25
5.41.331.30
5.61.381.35
5.81.431.40
6.01.481.45
6.21.531.50
The above figures are based on the following assumptions:
Electricity - 3,414 BTU per kWh and 100% annual efficiency.
Fuel Oil - 138,000 BTU/Gal. of #2 fuel oil and 60% annual operation efficiency
Propane - 91,500 BTU/Gal. and 90% annual operating efficiency.

Conditions and Rates
In order to qualify for a dual fuel rate on the electric heat meter the member must meet the following conditions:

  1. The member must have a separate meter to record electric heat.
  2. The member must be willing to have their electric heat controlled during peak demand times (VEC will provide and install controlling equipment for $200 + tax) and sign a Dual Fuel Agreement. Electric heat will be controlled as long as a peak situation persists (12 hours maximum per day).
    1. Standard electric heat may be controlled during peak hours, which normally occur due to system wide temperature factors in the Dairyland Power Cooperative system. System peaks most often occur in the winter or summer during the evening hours and less often during the morning hours. Controlling would also occur during tests of the load management system and emergency situations.
    2. Members with electric storage heat systems such as the Steffes electric thermal storage (ETS) room heaters and furnaces or slab heat, will be controlled 14 hours per day.
  3. A dual fuel rate of 5.2 cents per kWh (Oct.-May) will be charged for electric heat with an automatic backup (i.e. electric thermal storage (ETS), natural gas, liquid propane or fuel oil). This rate will go into effect when load management equipment is installed.
  4. A storage heating rate of 4.2 cents per kWh will be charged for electric heat that can be controlled (turned off) for at least 14 hours per day. This typically would be a cement slab or other type of ETS system.
  5. A dual fuel rate of 7.5 cents per kWh will be charged between June through September on all heat meters.
  6. There will be a $2.50 per month facility charge for sub-meters.
Revised 1/1/07. This rate schedule is reviewed annually and is subject to change.
Dual Fuel Agreement
ETS (Electric Thermal Storage) Room Units
Steffes Electric Thermal Storage (ETS) Central Furnace
Central Air Conditioning Rebate

 
 

Home Return to Vernon Electric Cooperative Home Page.