Have a daycare in Tampa getting killed with demand charges from FPL. Bill averages $3,200/month but demand portion is almost $900 of that. Building is only 4,200 sq ft. Owner insists they don't have any heavy equipment beyond normal HVAC and kitchen appliances. What could be causing such high demand?
Daycare center demand charges
Beatrice, I'd bet it's the water heater or maybe electric heat strips in the HVAC. Daycares use tons of hot water for handwashing, cleaning, food prep. If they have a big electric water heater or multiple units, that could easily spike demand when they all kick on together.
George is right about water heating. But also check their rate schedule - some daycares get classified as schools or educational facilities which might have better rates. Also FPL has been aggressive with demand charges lately, make sure they're on the right general service tier.
Good catch Arnold - they're on GST-1 but usage patterns suggest they should be GSD-1 which has lower demand charges for their size. The water heater angle makes sense too. Owner mentioned they upgraded to a bigger unit last year right when the bills started spiking.