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Understanding Demand Charge
Understanding Demand
A demand charge is a variable charge that’s measured in kilowatts (kW), and it’s based on the intensity at which electricity is used at a given time. This means if your AC unit is running at the same time as your dishwasher, oven, dryer, or any other large electrical appliance, your electrical demand will be higher than if you were to spread out the use of those appliances throughout the day.
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Why do we charge for demand?
Our Demand Charge begins to reflect the real cost of maintaining the poles, wires, transformers, and other equipment required to deliver your maximum power needs, even if you use that level only briefly.
It also helps cover transmission costs, and ensures we have enough capacity available for everyone, even during times when many homes are running many devices are running at once.
The good news? You can have control over your individual demand. By spreading out appliance use, avoiding running several high-use devices at the same time, and using smart technologies to manage energy, you can reduce your peak demand and lower your bill while helping ease strain on the grid.
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How much electricity do common household items "demand"?
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High Demand Impact 3 kW and above
These appliances can significantly increase your demand, especially if more than one operates at the same time.
- Electric furnace: 10–20 kW
- Electric clothes dryer: 3–5 kW
- Electric water heater (tank): 3–5 kW
- Electric oven: 2–5 kW
- Electric range burners: 1–3 kW each
- Central air conditioner: 2–5 kW
- Cold climate heat pump: 2.5-7 kW
- Level 2 EV charger: 6–11 kW
- Well pump: 0.5–2 kW running (higher at startup)
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Medium Demand Impact 0.5 - 3 kW
These use a moderate amount of power. Combined with a high-load device, they can contribute to a higher overall peak.
- Microwave: 0.6–1.5 kW
- Dishwasher: 1–2 kW
- Space heater: 1–1.5 kW
- Clothes washer: 0.3–0.8 kW
- Vacuum cleaner: 0.6–1.2 kW
- Toaster: 0.8–1.5 kW
- Coffee maker: 0.8–1.2 kW
- Induction cooktop (single burner): 1–1.8 kW
- Window AC unit: 0.5–1.5 kW
- Heat Tape (100 feet): 1 kW
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Low Demand Impact Under 0.5 kW
These contribute very little to your peak demand and generally have minimal impact unless many operate at the same time.
- Refrigerator: 0.1–0.2 kW
- Freezer: 0.1–0.2 kW
- TV: 0.05–0.2 kW
- Desktop/laptop computer: 0.05–0.25 kW
- Wi-Fi router: 0.01–0.02 kW
- LED lights: 0.005–0.015 kW each
- Phone chargers and small electronics: below 0.02 kW
How do you find demand?
The bill shown is an example statement. We've highlighted key areas to help you locate your demand information on your own bill. On the back side of your bill, the section highlighted in yellow shows the maximum demand measurement for the month. The section highlighted in green shows your monthly demand, measured in kilowatts (kW).
Calculate how much demand will impact your bill.
More information is available in your SmartHub account.
For a bigger picture view, you can log into SmartHub:
- Click on the “Usage” tab
- Click on “Usage Explorer”
- Change the “Usage Type” Drop Down Menu to “Demand (kW)”
Choose an Interval:
- “Monthly” gives you a good snapshot of your peak demand each month.
- Daily gives you a good snapshot of your peak demand each day throughout the month.
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In the graph section:
- Hover over the month or day to see the recorded demand
- Toggle the temperature options on and off to see how peak demand measurements often aligns with cold and hot days.