For many industrial and commercial users, utility companies charge based on the highest recorded peak (Maximum Demand Charge). The Secret Ingredient: Diversity Factors
Multiply the connected load by a diversity factor (e.g., 66% for domestic lighting) to account for the fact that not all appliances run at once. Aggregate & Phase Balance maximum demand calculation
If your MD is 500 kVA but your typical load is 350 kVA, you are overpaying. Solutions: For many industrial and commercial users, utility companies
Use your local electrical code's table to reduce those numbers. For many industrial and commercial users
[Insert Project Name] Location: [Insert Address/Site Details] Prepared By: [Your Name/Company] Date: April 21, 2026 1. Executive Summary