What is Demand? Demand is a charge to appropriately allocate costs to build, maintain, or upgrade the infrastructure (power lines, transformers, substation upgrades, etc.) needed to ensure enough energy is delivered to meet the members' needs. Demand is not the total amount of energy used; it is the rate at which it is being used. The charge is determined by the maximum demand of energy at any point within the billing cycle multiplied by the determined rate for a members' specific rate class.
Demand is the rate which a person utilizes electricity. Demand increases when many large power-hungry appliances operate simultaneously. In these instances, Victory Electric must have the infrastructure to ensure enough power is available to the members' home or business to satisfy their current need for immediate electricity.