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Understanding Demand Billing
A more equitable way to bill for energy
We formerly billed members a daily service charge and an energy use charge. Now, we are separating the energy use charge into two parts – one for the energy you use and one for the demand you set.
What is demand?
When you use electricity, it makes an impact, or demand, on the energy grid. Your demand will be the largest amount of energy you use in any given 15-minute interval each month, which will be reflected on your bill.
What is the difference between demand and my energy use?
Think of it like this: In your car, you have an odometer that measures the miles you drive, and a speedometer, that measures your speed. In this case, your energy use is like your odometer, measuring the energy you use. Demand is like the speedometer, measuring the peaks in your energy use.
Why bill for demand?
It’s all about rate equity. Charging for demand makes our billing more equitable as families pay for both the amount of power used and the demand placed on the system.
