Peak Demand Calculator
Calculate peak electrical demand in kW and estimate demand charges for commercial or residential accounts.
kW
%
USD/kW
Peak Demand
35.0 kW
Monthly Demand Charge420 USD
Annual Demand Charge5,040 USD
Demand Factor70 %
Peak Demand vs Demand Charge Rate
How to Calculate Peak Demand
Peak demand is the maximum power draw at any point, measured in kilowatts (kW).
Formula
Peak Demand (kW) = Connected Load * Demand Factor
Monthly Demand Charge = Peak kW * Rate per kW
Demand factor accounts for the fact that not all equipment runs simultaneously. Typical factors are 60-80% for commercial buildings.
Example Calculation
A building with 50 kW total connected load, 70% demand factor, and $12/kW demand charge.
- 01Peak demand: 50 * 0.70 = 35 kW
- 02Monthly charge: 35 * $12 = $420
- 03Annual charge: $420 * 12 = $5,040