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June 14, 2024
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June 27, 2024
Demand Tariffs: what you need to know to exercise agency
In a world where big corporations dominate the energy market, CoPower stands with you, prioritising the public good over private profit. Partnering with Energy Locals, we ensure that neither of us profits from demand charges, aligning our priorities with yours: lowering usage and bills.
Understanding Your Electricity Demand Tariff
Electricity demand tariffs measure the highest amount of power you use from the grid within any 30-minute period during the month, calculated in kilowatts (kW). If you run several high-wattage appliances simultaneously, your demand can spike, leading to higher charges.
Here’s a simple example:
- Washing machine: 1 kW
- Heater: 2 kW
- Dishwasher: 2 kW
Running these together would result in a 5 kW demand.
For more detailed information on how demand charges are calculated, visit the Energy Locals’ support page.
Why Do Electricity Networks Charge a Demand Tariff?
Electricity networks implement demand charges to manage grid stability, cover infrastructure costs, and encourage efficient energy usage. This helps maintain a reliable and robust electricity supply while promoting fair cost distribution among all users. Of course, this all depends on the details of the costs. Some of our customer members may be on a demand tariff, and for some this arrangement may work pretty well from a costs perspective.
CoPower’s Commitment to Fairness
At CoPower, transparency and fairness are our core values. If you wish to change your network tariff, we can assist by liaising with your local network company on your behalf. It’s important to know that each network has its own set of rules for this so it can take the customer service team time work through this sometimes too. Check this further background information on switching between tariffs, and contact the customer service team directly on help at energylocals dot com dot au.
To explore different tariff options and make an informed decision, join CoPower and become part of a community-driven energy revolution. Let’s take control of our energy future together.
