## What Is Electrical "Load Factor" Formula

Electrical (demand or power) Load factor is a measure of the utilization rate, or efficiency of electrical energy usage. It is the ratio of total energy (KWh) used in the billing period divided by the possible total energy used within the period, if used at the peak demand (KW) during the entire period. Demand Load Factor is usefull in qualifing the benefits of demand control and battery energy storage strategies.

Thus, The Electricity Demand Load Factor Calculation is:

Demand Load Factor = KWh/KW/hours in the period

To calculate your load factor take the total electricity (KWh) used in the month and divide it by the peak demand (power)(KW), then divide by the number of days in the billing cycle, then divide by 24 hours in a day. The result is a ratio between zero and one.

#### An Electric demand Load Factor Calculation Example

Monthly Energry Use 4000 KWh

Monthly Peak Electric Demand 35 KW

Days in the Month 30

Hours in a Day 24 days

Power Load Factor = 2000/35/30*24 = 15.9%

(You are getting killed on your monthly electric bill.)

Another beneficial metric is the Electrical Load Duration Curve. And for a real understanding of the electrical power load factor we use Time of Use (TOU) Distribution analysis. (you need to drop us a note for this explaination.)