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Power Bill Increase

Posted by Laura on June 29, 2009

So what do you think about this increased Power Bill?

On Friday, the house approves the bill that addresses the Threat of Global Warming…. so what does this mean?

The reason for this GREEN bill is to encourage people to use less energy… so here are the results..

  • Raise Electricity Rates 90% after adjusting for inflation
  • Raise Residential Natural Gas prices by 55%
  • Raise an average family’s annual energy bill by $1500 annually
  • Raise gasoline prices by 74%

Again, the reason for this bill is because of Global Warming and to try to transform the way people deal with energy. 

So before this green tax increase, it was estimated that 70% of the IT budget was devoted just to keep the lights on.  Is that going to move to 100%? Holy moly!!  It is also said that the operational cost to maintain just 1 server per year WAS $4k.  ( Estimated monthly bills of $63/power cooling per month, $160 maintaince of switches & cables & $112 real estate & labor).  So if you have 100 servers this WAS a bill of operational costs of about $400k per year!!  Now if this increase affects corporations, 90% increase in electricity that would be about $600k in operational costs per year and that is being conservative.  Nuts, just nuts really. 

But I guess it will follow the mission of this bill.. figure out ways to use less energy.. spend less money on energy etc. 

There are ways with technology through vitalization of servers, storage & at least 75% of your physical servers, but not just that, there is a way to consolidate your power bill.  There are a bunch of 3rd companies out there that are buying power @ a decreased rate with all of their other corporates volume power.  Kind of like a corporate power contract.  If you have your companies power piggybacked off of that power contract you can take advantage of the large discount rate of the other companies.  You can save a bunch of money in power each month & year.  Only about 6 states allow for this to happen now, but this is changing.  I will post some more information about this later. I know you just cannot wait.

IMG_1073Kameron is still smiling despite the Friday Power Bill being passed.. but then again fortunately he does not need to know what is going on with crazy power & bills.  He can be a kid & that is just perfect.

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