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Peak Demand Cost Estimator

Estimate demand-charge impact on commercial-style bills.

Inputs

Inputs and assumptions

Nameplate watts for Peak Demand Cost Estimator.

How many of this device you run.

Hours per day

Fridges run 7; laundry may run 2-3.

Compressors and thermostats cycle; a fridge averages ~40%.

Rate

Result

Cost per year
$992.80
Energy per year
5,840 kWh
Share of average US home
55.5%
Cost per running hour
$0.680
Cost per day
$2.72
Energy per day
16.0 kWh
Cost per month
$81.60
Screening tool. Verify your utility tariff and equipment specs before deciding.

Frequently asked questions

What is a demand charge?

A fee on your highest 15-minute kW each month, common on commercial and some residential TOU tariffs.

How do I cut peak demand?

Stagger big loads so AC, dryer, oven, and EV never coincide. Timers automate it.

kW vs kWh on the bill?

kWh prices total energy; kW prices the peak rate. Both can appear on one bill.

Does solar cut demand charges?

Only if peaks align with solar hours. Evening peaks need batteries or load shifting.

Related calculators

Guides

01 Which Appliances Cost the Most to Run? 2026 Cost Guide 02 How to Read Your Electric Bill: Charges, Rates, and Meter Readings

Workspace

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