Last month's Mushroom News article "Deregulation of Electricity Generation in Pennsylvania - It's Coming Soon" stated "Your most important activity to get lower prices for electricity is to manage your peak demand. An indicator of how well you are managing peak demand is the Load Factor." Cost for electricity is not a flat fee per kWh (kilo-Watt-hour) even when the billing algorithm is constant. Your kWh of electricity is significantly Influenced by your peak demand for the billing period. Peak demand - measured as kW (kilo-watt) - is the highest average usage of electricity for a 30-minute interval throughout the billing period. This definition applies to customers in PECO service territory. A high peak demand will always result in a high price forall the electricity used throughout the billing period. Depending on the circumstances, the high peak demand may also increase the price for electricity for eight months following the occurrence of the peak demand. For those customers with designated on-peak hours and off-peak hours (Night Service Rider for PECO customers), the billing demand will be based on the peak demand only during the on-peak hours throughout each billing period.
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