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Free tool for HT consumers with a billing floor
Contract demand optimiser
Paste the maximum demand from your last twelve bills and the demand charge rate. See what the current contract demand costs you a year, the contract demand that would cost least under the billing floor and penalty rules, and the saving from changing it. Runs in your browser; nothing is uploaded.
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Your numbers
Fill in the required figures to begin.
—demand charges per year now
—highest demand in the period
Unlock the detailed report
The headline numbers are free. The full breakdown, sizing and payback are emailed to you and unlocked here once you verify your work email.
- Full breakdown of every figure
- System size, capex and payback
- What to do next, flagged by our engineers
- A copy emailed to you, plus one-click request for the free feasibility study
One-time code to your email, nothing else. We do not share your details.
Verified as . The detailed report is below and in your inbox.
Why the right contract demand is a calculation, not a guess
Two costs pull in opposite directions
Set the contract demand high and you pay the billing floor every month you do not reach it, typically 85 per cent of contract even if you used far less. Set it low and every month you exceed it is billed at a penalty multiplier on the excess. The cheapest contract demand sits between the two, and it depends on the shape of your twelve months, not on the average.
What the optimiser does
It tries every contract demand between your lowest and highest recorded demand and adds up twelve months of charges under the floor and penalty rules you set, then picks the lowest. It shows how many months would exceed the new figure, so you can judge the operational risk of being over contract.
Before you apply to the DISCOM
A reduction is usually allowed once a year and may need a load study; an increase is quicker. Peak shaving with a battery changes the picture again, because it lowers the recorded demand itself. The feasibility study runs both together.
How often can contract demand be changed?
Most Gujarat DISCOMs allow a reduction once in a financial year with notice, and an increase on application subject to network capacity. Check your current tariff order and agreement.
Is it risky to set contract demand below my highest month?
A little. The months above it are billed at the penalty multiplier on the excess only, which the optimiser includes. If the saving still comes out positive, the penalty in those months is cheaper than the floor in the others.
Does a battery change the answer?
Yes. Peak shaving lowers the recorded maximum, which lets you reduce contract demand further. Run the demand charge calculator first, then re-run this with the shaved figures.
