Understanding Demand Billing

What is demand?

Demand is a component of Singing River Electric bills. Demand is determined by the largest amount of energy used in any one-hour period of a billing cycle – the peak time of energy use for your home. The average residential demand for Singing River Electric members is 7 kW.

As more appliances in your home run at the same time, your demand for power increases.

Demand is different for every Singing River Electric member. Watch our video to see how demand works.

What is the difference between demand and energy use?

Imagine your car’s dashboard.

The odometer measures the miles driven. Energy use is like the odometer of your bill, measuring the electricity used over time.

The speedometer measures speed. Demand is like the speedometer of your bill, measuring peaks in energy use.

How can I reduce my demand and my demand charge?

Spreading out your energy use will help lower demand. Don’t tower your power!

  • Run your dishwasher before you go to bed or use the delay feature so it doesn’t run at the same time as other large appliances.
  • Install a smart or programmable thermostat to set heater/air conditioner run times.
  • Use small appliances like air fryers or slow cookers instead of the oven.
  • Avoid running your clothes dryer when your heater/air conditioner is working hardest. Washing machines require less demand than dryers, but they are often used together so consider their combined demand.
  • Install a water heater timer to limit and schedule run times and lower energy use. Otherwise, water heaters work 24/7 to heat water to the designated temperature.
  • Use ceiling fans for additional cooling instead of lowering the thermostat. Turn fans off when you leave the room.

Visit our demand calculator to see which appliances require more demand than others and how stacking electricity use in the same time period adds up.

Why bill for demand?

Charging for demand makes our billing more equitable as members pay for the amount of power used and the demand placed on the electric system.

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Many appliances using electricity at the same time showing high demand.
Many appliances being used at different times to show low demand.