Cloverland is breaking out demand from the energy usage to provide more equity among members in a rate class. Some members create more demand by using more power at the same time and as a result, it creates a higher demand for electricity. This result has a higher cost than members using a more consistent amount through the peak period.
Due to the pressures of electric vehicle expansion and distributed generation or beneficial electrification in general, the industry, and many utilities are beginning to see a need to move to a 3-part bill for all rate classes, with a 1) demand charge, 2) energy usage charge and a 3) facilities charge.