Associated Electric Cooperative, who generates our power, surveyed our members in the fall of 2025. According to that survey, some of our members still don’t quite understand what demand is and why we changed our billing to incorporate it. It’s our duty to be transparent about our charges and while we have the information available on our website, social media pages and on our bill, it’s hard to capture such a big topic in short clips. So, we thought by trying to explain it in a series, it might be better!

This is part ONE - Understanding Demand

Demand is the amount of power needed to supply every electrical device running in your home or business at a specific point in time. It is the maximum rate at which your household has consumed electricity. For more information, please watch watch this video.

Electricity is something most people don’t think about until they flip a switch and expect the lights to turn on. Behind the scenes, however, a complex system works continuously to make sure power is available exactly when it’s needed.

Demand refers to the amount of electricity being used at a specific moment. Unlike other products, electricity cannot easily be stored in large quantities, which means utilities must produce electricity at the same time it is consumed. Throughout the day demand changes as people go about their routines. Late at night, when most people are asleep, electricity is still being used for things like streetlights, refrigerators, and devices charging in homes. This steady level of electricity use is known as baseload demand.

As the day begins, demand increases. Homes turn on lights and appliances, businesses open, and factories begin operating. Electricity use continues to rise until it reaches its highest level, called peak demand. This often happens during hot summer afternoons when air conditioners are running across entire communities or during the winter when electric heat is used.

Understanding how electricity demand works helps explain why energy use patterns matter. When many people use large appliances at the same time, it increases demand on the electric system. Spreading out electricity use throughout the day can help reduce strain on the grid and support reliable service for everyone, it can also help the pocketbook!

You can find YOUR demand and track your usage through our app!
Google Play
App Store for iPhones