2025 Rate Case – Focus on Electric Demand

Demand is the measure of how much total electricity a co-op member is using at any given time. The cooperative invests in the electrical system to ensure there is enough capacity to meet the members’ highest projected demand.

A&N Electric Cooperative filed a general rate case with the Virginia State Corporation Commission in January. Part of that rate filing would establish a demand rate as a separate line item on members’ electric service bills.

The cooperative currently recovers demand-related costs through the volumetric energy charge, but recovering such costs through a separate demand charge will allow the cooperative to more appropriately recover the costs of serving each individual member and avoid cross-subsidization.

Demand would be measured during a single billing cycle and would reset for the next cycle.

Since demand is the measure of how much total electricity is being used at a given point in time, members will pay more, or less, in demand charges based on their maximum demand for electricity.

Ensuring large appliances aren’t operating at the same time is one of the most effective ways to control demand.

For example, operating a clothes washer and dryer while using a stovetop range and oven will significantly increase demand. By avoiding the use of one or more of these major appliances at the same time you can control your demand or personal energy peak for the month.

This concept can also apply to many smaller appliances being utilized or charging at the same time.

For more information, contact one of our member services representatives by calling 757-787-9750, option 3.