What is a maximum demand meter?

Last reviewed 2 September 2026 by Utilities Made Simple · independent, whole-of-market, supplier-paid — how we are paid

Consumption and demand are different things

Consumption is energy over time, measured in kWh, and it is what most small businesses are billed on. Demand is the instantaneous rate of draw, measured in kW or kVA. A workshop that runs one large machine for an hour a day may use very little energy but require a large connection to do it — and the network has to be sized for the peak.

How you can tell

• Your bill shows a kVA, kW or "capacity" line as well as kWh.
• Your MPAN begins with profile class 00, which indicates a half-hourly supply.
• You have a current transformer arrangement rather than a simple meter, typical above roughly 100 kVA.

See half-hourly vs non-half-hourly meters if you are not sure which you have.

Where the money is

Two places. First, available capacity: you pay monthly for the kVA you have agreed, used or not, and many sites hold far more than they need after equipment changes. Second, excess capacity penalties if you exceed it. Both are covered in capacity charges and kVA explained.

Worth a review when

You have replaced plant with more efficient equipment, moved production off site, changed shift patterns, or taken on part of a building that was sized for a previous occupier. Twelve months of half-hourly data will show your true peak, and the capacity can then be reset to match it.

Ask an energy specialist

If your question is not answered above, send it to us. A specialist answers personally, normally within one working day. No sales call, no obligation — and if the answer is "your deal is fine", that is what you will get.