Residential Demand Controller Program FAQs

Return to the Demand Controller Program or continue on to review the Demand Controller Equipment or the Demand Controller Extended Warranty Information.

Q. How Can I Save Money With a Demand Controller?

A. Black Hills Power (BHP) offers a special Residential Demand Service Rate for customers that average 1,200 kilowatt-hours (kWh) or more per month.

Q. What is Demand?

A. Demand is the rate at which electricity is used during a fifteen minute period. As you turn on more lights, appliances and electric heating equipment, you are increasing your individual electric demand (Rate-of-Use).

Demand rates are offered to encourage customers to "level out" their rate of use. By controlling your demand, you are contributing to the efficiency of BHP's electric system and saving both of us money. During the month, a Demand/Energy meter records the total Energy used, along with the highest 15 minute demand measured in kilowatts (kW), with one kilowatt equal to 1,000 watts. For example, if you have ten 100-watt light bulbs on at one time, the demand is 1,000 watts or 1 kilowatt (kW). If they remain on for one hour, the Energy used is one kilowatt-hour (kWh). After recording the 15-minute peak use demand, our meter reader resets the demand indicator on the meter to zero to start a new billing period.

Q. How Does The Demand Rate Work?

A.The total monthly bill is comprised of a customer charge, a charge for measured demand (kW), and a charge for Energy (kWh) consumed during a billing period. To realize maximum savings, you will want to keep your demand as low as possible.

Q. How Can I Benefit?

A. Customers on the Residential Demand Service Rate realize significant savings on their monthly electric bill by controlling their demand for electricity. BHP can estimate your potential savings on this special rate.

Q. What Is My Demand?

A. Table 1 lists typical demands for several common home appliances. The rating of your own appliances will be found on the "nameplate" attached by the manufacturer. The additional demand for electric space heating has been omitted due to varying sizes, but demands of 10 kW or more are common. Portable heaters usually range from 1 to 2 kW demand.

Air conditioners are also large consumers of power. Room units range from 1 to 3 kW demand; central units range from 2 to 5 kW. Check the "nameplate" rating on your unit for its kW.

Q. What Is The Best Way To Control My Demand?

A. The best way to control your demand is through the use of automatic Demand Control devices. Demand Controllers monitor your home's demand and manage the simultaneous operation of Demand producing equipment.

Q. How Does A Demand Controller Work?

A. The Demand Controller is a device that controls your major electric appliances in order to limit the peak energy use in your home. The appliances that are controlled include your electric heat, air conditioner, electric water heater, clothes dryer and hot tub. The Demand Controller unit will monitor your electricity use and begin shutting off your major appliances on a prioritized basis as your demand reaches your preset kW limit. When your demand begins decreasing, the Controller will begin restoring power to each of your major appliances.

Q. Will The Demand Controller Shut Off My Lights, TV, Radio, And Kitchen Appliances?

A. No. The unit will not shut off common electrical equipment. It will monitor the total electrical usage in your home in order to determine the total demand used at a given time.

Q. Will BHP Shut Off My Electric Power?

A. No. The Demand Controller is the only device that can control your demand and energy usage. Remember, the unit is controlled by you. BHP does not control your usage. Tankless Water Heater FAQS

Q. Do I Need To Be A Total Electric Customer?

A. No. The Demand Service Rate and the Demand Controller are designed for any BHP residential customer with a high monthly energy usage.

Q. How Can I Receive The Maximum Value From The Demand Controller Program?

A. A Maximum Value feature has been added to the Residential Demand Service Rate. The Maximum Value feature is designed to allow customers 3x the on peak demand during weekends, designated holidays, and nightly Off-Peak periods. The Demand Controller will automatically limit the customer's use of major appliances during the On-Peak periods. The customer will only be billed for the kW Demand recorded during the On-Peak periods and energy (kWh) consumed. There is no limit or charge for the Off-Peak kW Demand.

Q. What Are The Off-Peak and On-Peak Periods?

A. The off-peak and on-peak time periods are as follows:

Summer Season (Weekdays): April 1 - October 31

Winter Season (Weekdays): November 1 - March 31

Weekends: All weekends are considered Off-Peak Time Periods. The Off-Peak weekend time frame is:

The following holidays are considered off-peak:

Note: Holiday is considered Off-Peak only on the day it occurs.

Q. How Much Does The Demand Controller Cost?

A. The Demand Controller package varies in price depending on the type of electric heating and cooling equipment you are controlling through the unit. The package includes: Demand Controller set station, relay box, and wire. Price may increase based on added equipment for unique installations.

Q. How Do I Get Started?

A. Simply contact your local BHP office or the Energy and Marketing Services Department. We will need information about your home's electric usage and equipment. A BHP representative will then present you with a Demand Service Rate Comparison report along with a Demand Controller Service Application form. When BHP receives the Demand Controller Service Application form, with your signed approval, we will activate the FREE installation service for your new Demand Controller.

Q. What Incentives Does BHP Offer Customers Purchasing A Demand Controller?

A. BHP offers a FREE INSTALLATION (up to $300.00) of the Demand Controller to customers purchasing a Demand Controller for an existing home.

For newly constructed homes, BHP offers a $200 cash rebate to customers instead of the free installation offered to existing home customers. The $200 is used to cover the installation cost of the demand controller in your newly constructed home by a Demand Controller Certified Electrician.

BHP also offers 0% Interest Financing to qualified customers purchasing a Demand Controller. The maximum loan length is 12 months and the minimum monthly payment is $25.