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Why does Demand matter?

DEMAND
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Why does Demand matter?

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The goal of GUC is to provide every industrial, institutional, and residential customer with adequate electrical power whenever it is needed. Therefore, GUC must be prepared to supply the maximum amount of electricity that might be demanded. Just as you “buy” electrical power from GUC, GUC “buys” electrical power from the North Carolina Eastern Municipal Power Agency (NCEMPA). During the lower “normal” electrical load periods, GUC pays only pennies per kilowatt-hour. However, during a Peak Demand period, GUC may pay nearly twenty dollars per kilowatt-hour. GUC, in turn, passes Peak Demand rates onto its customers.

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