Heat Treatment, Furnaces & Thermal Processing worked example

Furnace Energy Cost at 110% energy cost capture percent: a worked example in heat treatment, furnaces & thermal processing

Push energy cost capture percent up to 110% and the picture changes. This example computes every intermediate figure at that operating point. Use it when energy cost needs to be visible for a batch furnace, continuous furnace, oven, kiln, vacuum furnace, or induction heating route.

The inputs for this scenario

  • Run energy consumption: 1,800 kWh (unchanged)
  • Blended utility rate: 0.12 $ / kWh (unchanged)
  • Energy cost capture percent: 110 % (raised for this scenario; the documented default is 100)
  • Demand or idle energy adder: 75 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Captured furnace energy cost = run energy consumption × blended utility rate × energy cost capture percent) to the inputs above produces each figure below.
  • At this operating point the engine returns 313 $ for total furnace energy cost, the number this scenario is built around.
  • At this operating point the engine returns 0.17 $ / kWh for energy cost per entered kwh.
  • At this operating point the engine returns 238 $ for captured run energy cost.
  • At this operating point the engine returns 75 $ for demand or idle energy adder.

How this compares with the baseline

  • Against the tool's baseline example, where energy cost capture percent sits at 100% and the headline result is 291 $, this scenario comes in 7.42% above the baseline at 313 $.
  • It computes the total energy cost of one furnace run by valuing the metered kWh at your blended rate, applying a capture percentage, then adding demand and idle charges. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • Total furnace energy cost: 313 $ (headline result)
  • Energy cost per entered kWh: 0.17 $ / kWh
  • Captured run energy cost: 238 $
  • Demand or idle energy adder: 75 $

Run it with your numbers

  • Every input above is editable in the live Furnace Energy Cost calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.