What Is Demand?

Reducing costs and saving money is always on the minds of NPPD and our customers. The illustration is an example of how you can indirectly save on your monthly bill.

The vehicle speedometers represent demand, while the odometers represent consumption.

Notice it takes the performance car (right) much less time to go the same distance as the economy car, but it demands more from its engine to do so. This demand costs more in terms of price of the vehicle, fuel use, and maintenance as compared to an economy car.

The same is true for an electric utility and our customers. As the demand for electricity goes up it requires more services from the utility. More service may require additional infrastructure, which drives up overall costs. In other words, by spreading our your demand, you indirectly reduce costs for both NPPD and yourself.