What is the Demand Charge on my Bill?

Demand is the rate at which electricity is used. It is the amount of electricity required to power all of your lighting, heating and cooling equipment and plugged-in appliances at the same time.

A demand charge of $1 to $2 per KW has been added to general service rates. This charge is based on the highest amount of electricity a member uses during any 15-minute period throughout the month. Members who require more capacity will contribute more through the demand charge.

  • Using a lot of electric equipment at once = higher demand
  • Spreading out the use of electric equipment = lower demand

The cost-of-service study determined that a demand charge is the fairest way for Central Electric to recover infrastructure costs for members who require greater capacity.

Staggering the use of electric appliances lowers your demand. To monitor your energy usage and demand, members can download the SmartHub app on a cell phone or tablet.

Members can play a significant role in controlling the cooperative’s wholesale power costs. We encourage you to help manage electric demand by participating in the load management program. By working together, we can better manage power costs for everyone. 

Demand Info