peak shaving

How to Reduce Energy Costs with Peak Shaving (HOMER Energy at Solar Power International)

For grid-connected commercial and industrial (C&I) customers, the demand charges associated with peaks in consumption during high-use periods can be substantial–up to 70% of the customer’s utility bill–and peak shaving is a great option to reduce these costs. In fact, a just-released National Renewable Energy Laboratory (NREL) survey of U.S. demand charges found that more than 25% of commercial utility customers (or about 5 million customers)  in the U.S. alone would benefit from reducing peak demand consumption.

NREL: Using Stored Energy for Demand Charge Reduction Brings Significant Savings

The National Renewable Energy Laboratory (NREL) and Clean Energy Group (CEG) released last week a comprehensive public analysis of U.S. demand charges — the tariffs commercial customers pay to use utility-based electricity in times of high demand — and the potential benefits of demand charge reduction to the millions of customers currently paying premium prices during those peak electricity use periods.  Peak demand charges affect not only companies but nonprofits, communities, public buildings, […]