Bob Pierce answers questions about energy efficiency, consumer products, and cooperative governance. He is Clearwater Power’s Chief Operating Officer and welcomes your questions on our Ask Bob page.
On my Clearwater Power bill, there is a charge for peak demand. At my last utility, they had a different rate for on-peak and off-peak times. Are there different peak rates at Clearwater Power?
Clearwater Power’s peak demand charge is unique to your household’s peak energy use. When utilities offer different rates based on peak times, known as time-of-use rates, they examine the utility’s collective peak demand periods.
Clearwater Power’s peak demand charge is based on the highest number of watts you use at any one time during the billing period. It is measured in thousands of watts, or kilowatts.
For example, a common peak demand would be when your electric heat, water heater, and clothes dryer run simultaneously. If this happens during the month, you have probably set your peak demand. We charge 92 cents per kW for this part of the bill.
Remember, the peak demand charge is separate from your energy charge, which is 0.0904 cents per kilowatt-hour.
The type of rate you are describing at your previous utility is a time-of-use rate. This type of rate changes your kWh rate depending on the time of day. Every utility is different, but it is usually when the utility as a whole is putting the most demand on the system. The utility might charge a significantly higher rate during peak times, such as weekdays between 7 a.m. and 11 p.m., when the utility sees a system peak, and lower rates during off-peak times, typically at night and on weekends.
