Description
billedKw = max(currentPeak,historicalPeak*ratchetFraction); charge = billedKw*pricePerKw.
Demand charges depend on a defined peak, interval and possible historical ratchet. A maximum demand, a demand-time share and a customer’s contribution to a system peak are distinct quantities.
billedKw = max(currentPeak,historicalPeak*ratchetFraction); charge = billedKw*pricePerKw.
When to use this tool
Use Demand Charge Ratchet One Month Term when checking an explicit peak, ratchet or demand-allocation convention.
How to use the tool and how it works
- Enter currentPeak, historicalPeak, ratchetFraction, pricePerKw. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read billedKw, charge. Use the output convention below.
Require nonnegative currentPeak and historicalPeak and ratchetFraction in [0,1]. billedKw = max(currentPeak,historicalPeak*ratchetFraction); charge = billedKw*pricePerKw.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| currentPeak | Current Peak | Required. Finite number; minimum 0. |
| historicalPeak | Historical Peak | Required. Finite number; minimum 0. |
| ratchetFraction | Ratchet Fraction | Required. Finite number; minimum 0; maximum 1. |
| pricePerKw | Price Per Kw | Required. Finite number. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| billedKw | Billed Kw | Required. Finite number. |
| charge | Charge | Required. Finite number. |
{
"input": {
"currentPeak": 80,
"historicalPeak": 120,
"ratchetFraction": 0.75,
"pricePerKw": 10
},
"output": {
"billedKw": 90,
"charge": 900
}
}Limitations and assumptions
- Demand must be in kW for the named output and price in currency/kW for the billing period. No lookback period, demand interval or valid tariff is established.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Use metered interval data and the applicable tariff to determine actual billing peaks, lookbacks and allocation rules.
References
Similar or alternative tools
- Demand Charge Peak Share
share = contribution/billingPeak; allocatedCharge = charge*share.
- Demand Period Coincidence Share
Calculate demand-time support inside flagged peak periods, preserving an undefined zero-total share.