Simple English definitions for legal terms
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Peak demand refers to the time when people use the most electricity, water, or other utilities. It's the point during a certain period when the demand for these services is at its highest. This usually happens when many people are using these services at the same time, like during hot summer days when everyone is using their air conditioners.
Definition: Peak demand refers to the point in time when the demand for a utility, such as electricity or water, is at its highest level during a specific period.
Example: During the summer months, when temperatures are high, people tend to use more air conditioning. This increased use of electricity leads to a peak demand for power during the hottest parts of the day.
Explanation: The example illustrates how peak demand occurs when there is a sudden increase in the usage of a utility. In this case, the demand for electricity increases due to the use of air conditioning during hot weather. This increased demand can put a strain on the power grid, which is why utility companies often encourage customers to conserve energy during peak demand periods.