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At least I think it is. Trouble is, our local electric co has given me different answers and so now I’m confused.
We’re switching to a Time-of-Use rate schedule. Two billing components. I understand the kWh usage charge ($.03 off peak v $.072 normally). There’s also a “demand charge,” which is $4/kW for all on-peak Billing Demand. Billing Demand is defined as “the maximum demand used in the on-peak hours of the current month during any 15-minute interval.”
My question to them: what would the demand charge be if I ran a 1000 watt appliance for two consecutive hours? I never got an answer. They just said it’s not unusual for someone to have 15 kW billing demand. But they’ve confused me on how they determine it. Any demystifiers out there? Thanks.
Replies
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At least I think it is. Trouble is, our local electric co has given me different answers and so now I'm confused.
We're switching to a Time-of-Use rate schedule. Two billing components. I understand the kWh usage charge ($.03 off peak v $.072 normally). There's also a "demand charge," which is $4/kW for all on-peak Billing Demand. Billing Demand is defined as "the maximum demand used in the on-peak hours of the current month during any 15-minute interval."
My question to them: what would the demand charge be if I ran a 1000 watt appliance for two consecutive hours? I never got an answer. They just said it's not unusual for someone to have 15 kW billing demand. But they've confused me on how they determine it. Any demystifiers out there? Thanks.