Question

Which of the following utility bill charges is based on the highest measured interval of electricity...

Which of the following utility bill charges is based on the highest measured interval of electricity consumption in a given month?

Peak time charge
Demand charge
Ancillary services charge
Generation charge
Engineering   Electrical-Engineering   
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Answer #1

Demand charges are a special type of charge paid by the customers towards the utility companies. Demand charge is calculated based on the highest consumption of power for a given period of time in a month. This peak demand is measured typically for a 15 minute duration. The utility companies look for the peak demand by the customer during a month and charge a different and a higher $/kW rate for that duration. This is known as demand charges.

Hence option B is correct.

In case you have any doubts please feel free to ask your doubts in the comments section. I would be happy to clarify it  

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