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Interpreting this utility demand charge

Datacenter Talk Locked by cleardmitri 24 replies 3.1K views
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cleardmitri

Moderator OP

Moderator

11 #1

Got my March bill from Leaseweb. One line item jumped 400% from February. Same kWh usage. Demand charge for a single 15-minute interval on March 14. Rest of the month was flat. Anyone seen this before? Contract is standard colo with Contabo for cross-connects, but utility is direct with Hetzner Energy. Bill attached (redacted).

No logs, no proof. I have logs.
marcus_qc

Member

#2

KIDDO THATS THE RATCHET CLAUSE GRABBIN YER ANKLES!!! SHITF KEY STUCK AGAIN!! THEY LOOK AT PEAK DEMAND AND CHARGE U ALL MONTH FOR THAT ONE SPIKE!!! CHECK SECTION WHATEVER OF YER TOS!!! HAPPENED TO ME IN 2019 WITH OVHCLOUD!!!

42U and still growing
ben20

Member

4 #3

I have documented this. The 80% rule applies: you pay for peak demand OR 80% of historical peak, whichever is higher. Prorated billing does not apply to demand intervals. Overage is not applicable here; this is contractual. CC: ben20

SA

Member

#4

ben20 said:
The 80% rule applies: you pay for peak demand OR 80% of historical peak, whichever is higher.

Thanks for that, but you need to check power factor too. Utilities add penalty if your PF drops below 0.85. Happened to my rack at InterServer, they snuck it in as "reactive demand charge".

Chen

Member

☁️ multi-cloud mess

#5

Ratchet clause for one 15-min spike? Sounds rough leh

ben20

Member

#6

Chen said:
The [b]80% rule[/b] applies: you pay for peak demand OR 80% of historical peak, whichever is higher.

I should clarify: this is not universal. Leaseweb's standard colo terms in Frankfurt use a 90% ratchet, not 80%. I have the 2023 PDF. Hetzner Energy as submetering provider follows whatever the colo contract specifies. You need to check which version cleardmitri signed.

cleardmitri

Moderator OP

Moderator

#7

ben20 said:
Leaseweb's standard colo terms in Frankfurt use a 90% ratchet

Mine is Amsterdam, not Frankfurt. Does that change which version applies?

No logs, no proof. I have logs.
frankfurt_ops

Member

8 #8

cleardmitri said:
Mine is Amsterdam

Amsterdam is on the older Leaseweb master terms, pre-2022. Those reference 85% with a 12-month rolling window. I have seen bills from both cities. The shift to 90% happened when they consolidated onto the German operating entity.

Also: Hetzner Energy is just the billing wrapper. The actual utility is Liander or TenneT depending on which AMS zone. That matters for voltage dip exclusions. — https://www.leaseweb.com

SA

Member

#9

frankfurt_ops said:
Power factor too. Utilities add penalty if your PF drops below 0.85

This is a good point generally but Hetzner Energy does not meter PF on submetered colo circuits. They pass through what the landlord meters. In Leaseweb AMS the landlord meters active kW only. I asked them in 2021.

Chen

Member

☁️ multi-cloud mess

#10

frankfurt_ops said:
Hetzner Energy is just the billing wrapper

Wah lau eh, so complicated. In Singapore I just pay SP Group direct for my Leaseweb rack, no middleman. Demand charge also got but at least I know who to shout at.

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