Peak Demand
The highest rate of electricity consumption (measured in kW) recorded during a billing period. Commercial customers often pay demand charges based on their peak demand.
Why It Matters
Demand charges can account for 30-50% of commercial electric bills. Solar alone doesn't always reduce peak demand, but solar + battery can shave peaks dramatically.
Related Tools
Related Terms
Demand Charge
A utility charge based on your peak power usage (measured in kW) during a billing period, common for commercial customers.
Demand Response
A program where utilities pay customers to reduce electricity usage during peak demand events, often by cycling AC units, adjusting thermostats, or discharging batteries to the grid.
Load Profile
A pattern of your electricity usage throughout the day and year. Important for sizing solar and battery systems.