Understanding your electric bill: what's a demand charge?

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If you're wondering about the "demand charge" line item on your electric bill, you're not alone. In this video geared toward commercial and industrial customers, Seventhwave's Steve Kihm demystifies the concept with simple graphics and a straightforward explanation. (And yes, we promise, there is no math.)
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Incredibly clear. Well articulated. Thank You.

speway
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This was explained perfectly!!! Thank you

danpapas
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Thanks and well done! If you can also educate us how to read the bills to determine what our demand charges could be that would be a bonus! But thanks in any case.

rkrithiv
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This video finally made it click, thank you!

ixes
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I knew that but I am trying to find out what the options are for peak and off peak hours

patriciamusarra
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are demand charges applied for the whole time or just the time where our demand is maximum?

adityamahesh