The Difference for Commercial Rates

The Difference for Commercial Rates

Posted on September 15, 2025 by Tracy Vreeland

When our rates changed in April, we introduced electricity demand. This change helps better manage how and when energy is used throughout the day. Most demand occurs during 6-9 a.m. in the winter and 3-6 p.m. in the summer. That's why we now incorporate Peak Hours into our rate structure. If we can flatten demand during those peak times, we can reduce the amount of new generation we need to add to our growing system.

Demand and peak hours work a bit differently for our commercial or business customers than our residential customers. The commercial energy charge during Peak Hours is one cent higher per kilowatt-hour. Demand is a separate component. The demand charge is the highest one-hour of energy use during the 24-hour day. It does not necessarily occur during peak hours, as the residential does.

This means that your business's rate could be affected not just by how much electricity you use, but when and how you use it. For example, if your operations require high power usage during off-peak times, your demand charge could still be significant.

To help you manage costs effectively, we offer a complimentary rate review. Our team will analyze your current and historical energy use to determine whether your business is on the best available rate.

Contact Commercial Services at 800-804-7424 ext. 3029 to request this review.

For more information about electric demand and demand metering, click here.