INDUSTRIAL ELECTRICITY SUPPLY AGREEMENT
THIS INDUSTRIAL ELECTRICITY SUPPLY AGREEMENT is made on October 25, 2024
BETWEEN:
PowerFlex Industrial Energy 555 Industry Boulevard Detroit, MI 48201 ("Supplier")
AND
Midwest Manufacturing Solutions 777 Factory Lane Detroit, MI 48211 ("Customer")
1. TERM
1.1 18-month term (February 1, 2025 - July 31, 2026)
2. PRICING STRUCTURE
2.1 Variable Rate Components:
Base Rate: Market price + $0.015 per kWh
Peak Demand Charge: $12.50 per kW
Time-of-Use Rates:
o Peak (2pm-7pm): Base + $0.045 per kWh
o Shoulder (7am-2pm, 7pm-11pm): Base + $0.025 per kWh
o Off-Peak (11pm-7am): Base + $0.005 per kWh
3. VOLUME AND CAPACITY
3.1 Estimated Annual Consumption: 3,500,000 kWh 3.2 Maximum Demand: 1,500 kW 3.3
Power Factor Requirements: 0.95 or higher 3.4 Minimum Take: 70% of monthly estimate 3.5
Maximum Take: 130% of monthly estimate
4. DEMAND RESPONSE PROGRAM
4.1 Mandatory participation in Demand Response events 4.2 24-hour notice for planned
events 4.3 Compensation: $0.50 per kWh curtailed 4.4 Maximum 10 events per month
5. SPECIAL INDUSTRIAL PROVISIONS
5.1 Interruptible Service Option 5.2 Real-time energy monitoring 5.3 Power Quality Guarantees
5.4 Backup Generation Requirements 5.5 Load Shedding Protocol
6. PENALTIES AND CHARGES
6.1 Demand Exceedance: $15 per kW over maximum 6.2 Power Factor Penalty: 1% increase
for every 0.01 below 0.95 6.3 Failure to Respond to DR Events: $1,000 per event 6.4 Early
Termination: Remaining contract value + $100,000
7. TECHNICAL SPECIFICATIONS
7.1 Voltage Level: 13.8 kV 7.2 Metering: Primary 7.3 Transformer Size: 2000 kVA 7.4 Service
Type: 3-Phase, 4-Wire
