What’s the difference between energy and power?
Video: Power and energy
Learn about the difference between power and energy, two ways to measure the electricity used by a home or business.
Various ways of measuring power and power demand
Video: Real power
Learn about real power and
the underlying concepts.
Video: Apparent power
Learn about apparent power and
the underlying concepts.
Video: Minimum demand
Learn about minimum demand and
the underlying concepts.
Video : Billing demand
Learn about billing demand and
the underlying concepts.
Why bill for power demand?
Power demand is one of the main components of electricity rates, because rates reflect the costs actually incurred by Hydro‑Québec to deliver electricity.
As the example below shows, basing billing solely on kilowatthours (energy) used wouldn’t be fair: it wouldn’t take into account the cost of supplying electricity to meet power demands that can vary in size and duration from customer to customer.
In this example, Hydro‑Québec has to have equipment with a capacity 24 times greater for Customer 1 than for Customer 2. Not only is the equipment more expensive, it will be used only 1 hour out of 24.
Do you pay for power demand?
That depends on your service contract rate, which takes into account your power needs.
Checking the rate on your electricity bill
The rate you pay under your service contract is indicated on your bill.
Example – Rate DP
How the rate applies to power demand
Rate D
If you pay Rate D, you don’t use a lot of electricity and your rate doesn’t include a demand charge. For simplicity’s sake, Rate D, which generally applies to residential and farm customers with a power demand of less than 50 kW, is based solely on energy consumption, expressed in kilowatthours.
Rate DP
If you pay Rate DP, it includes a charge for power demand greater than 50 kW.
Rate DM or DT
If you pay Rate DM or DT, it includes a charge for power demand above a certain threshold, which is the higher of these two values:
- 50 kW, or
- 4 kW times the multiplier
How billing demand is determined
Various ways to measure power and power demand
To determine billing demand, Hydro‑Québec measures your power two ways using your facility’s electricity meter:
How to read a bill with billing demand
There is a demand charge only if your power demand exceeds 50 kW in the case of Rate DP contracts, or the greater of 50 kW or 4 kW times the multiplier in the case of Rate DM or DT contracts, at any time during the consumption period.
Here’s an example of a Rate DP bill, along with explanations.
- Electricity use data recorded by the meter for the consumption period.
- Total energy used, expressed in kWh.
- Minimum billing demand, which is 65% of the highest power demand during a period falling entirely within the winter period.
- Highest real power demand during the consumption period.
- Highest apparent power demand during the consumption period.
- 90% of the highest apparent power demand (90% × 76.5 kVA = 68.9 kW).
- The power factor is the ratio of real power to apparent power (76.1 kW ÷ 76.5 kVA = 99.5%).
- The load factor, which is the relationship between the energy (in kilowatthours) actually consumed and the amount of energy that can be consumed by using the entire maximum power demand* throughout the consumption period (26,560 kWh ÷ (76.1 kW x 744 hours) = 46.9%).
- Billing demand, which is the highest of the values at item 3 (49.5 kW), 4 (76.1 kW) or 6 (68.9 kW).
- The cost of power, based on billing demand (item 9) greater than 50 kW (76.1 kW - 50.0 kW = 26.1 kW).
* Real power (item 4) or 90% of apparent power (item 6), whichever is higher.