Answer Posted / rohit garg
For a power plant Maximum Demand is a important factor for
deciding its billing and the requirement of power from the
electricity board. It is defined as the peak demand of
power whenever the maximum load is there in operation or in
running process in the plant for the particular time period.
Maximum Demand is used to decide contract demand too and it
is generally kept at 75-80% of contract demand. If demand
of plant exceeds maximum demand limit at any time there
will be penalty for that.
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