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Solutions · Peak Shaving

Maximum Demand Peak Shaving with BESS

Solunar helps commercial and industrial businesses reduce electricity cost by using a Battery Energy Storage System to discharge power during peak demand periods — lowering maximum-demand charges and improving energy cost efficiency.

Store energy when demand is low, discharge it when demand is high, and reduce the peak your site draws from the grid. Cut peak demand. Optimise usage. Improve power flexibility.

Battery storage cabinet supporting peak demand at a Malaysian factory

Your peak demand is increasing your electricity bill

For many commercial and industrial users, electricity cost is not only about how much energy is consumed — it is also driven by the highest level of power drawn from the grid during a billing period. This is called maximum demand.

Maximum-demand charges can become a major cost for businesses with heavy electrical loads, especially when equipment runs simultaneously or machinery starts up during production.

What is maximum demand?

Maximum demand is the highest amount of power your business draws from the grid during a measurement period. Even if that high demand lasts only a short time, it can still set your billed maximum demand.

For example, a factory may normally operate at 1,000 kW. But when multiple machines, compressors, chillers or lines run together, demand may spike to 1,500 kW — and that 1,500 kW peak becomes the figure used for billing.

Why maximum demand matters

Reducing peak demand can be as important as reducing consumption. High maximum demand can cause:

01

Higher monthly bills

Even short demand spikes can raise your billed maximum demand for the whole period.

02

Poor load management

Uncontrolled start-ups and simultaneous operation create unnecessary demand peaks.

03

Limited power headroom

High maximum demand reduces the capacity available for future expansion.

04

Grid & infrastructure stress

Sudden spikes strain transformers, switchgear and electrical infrastructure.

Common causes of demand spikes

Maximum-demand spikes usually happen when large loads operate at the same time:

  • Chillers & HVAC systems
  • Compressors & motors
  • Production line start-up
  • Cold storage & refrigeration
  • EV charging
  • Data-centre loads
  • Poor load scheduling

How peak shaving works

The BESS discharges stored energy when your site demand is highest, so the grid sees a lower peak:

  1. 01

    Monitor load demand

    The EMS monitors your real-time electricity demand.

  2. 02

    Identify peak periods

    As demand approaches a preset threshold, the system responds automatically.

  3. 03

    Discharge battery power

    The BESS supports the load, reducing power drawn from the grid.

  4. 04

    Recharge in low demand

    The battery recharges during off-peak periods or from available solar.

  5. 05

    Optimise continuously

    The EMS tunes performance using load data, solar, tariff and operating patterns.

Commercial battery storage cabinet beside an electrical switchroom managing peak demand
The EMS discharges the battery at your demand peaks, so the grid sees a lower, cheaper maximum demand.

A simple example

Without BESS: a factory operates at 1,200 kW but rises to 1,800 kW during peak production — and the bill reflects the 1,800 kW maximum demand.

With BESS: Solunar designs the system to discharge 400 kW during peaks. When demand hits 1,800 kW, the battery supplies 400 kW, so the grid only sees 1,400 kW — reducing maximum demand and demand-related charges.

Why solar alone may not be enough

Solar PV reduces daytime consumption, but its output depends on weather and sunlight. Peaks can still occur when solar is low, clouds reduce output, equipment starts suddenly, demand peaks after sunset, or load exceeds solar output.

That is why Solar + BESS is more powerful: solar generates clean energy, and the battery controls when that energy is used — for better savings and better energy management.

Solunar's peak shaving solution

We do not simply sell batteries — we design around your actual load profile, bill, operating hours and expansion plan:

01

Load profile analysis

We analyse your usage pattern and identify maximum-demand spikes.

02

BESS sizing

We determine the right battery power and capacity for your peak-shaving objective.

03

PCS integration

We integrate the Power Conversion System for safe, efficient charge/discharge.

04

EMS control strategy

We design the Energy Management logic to shave peaks automatically.

05

Solar integration

We integrate existing or future solar PV to deepen savings.

06

Monitoring & O&M

We provide monitoring, maintenance and performance optimisation after install.

Key benefits

Maximum-demand peak shaving turns your energy system into a smarter business asset:

  • Reduce electricity bills by lowering peak grid draw
  • Improve energy cost predictability
  • Increase power headroom for expansion
  • Improve solar ROI by storing and shifting energy
  • Reduce grid dependency during high-load periods
  • Support ESG goals and cleaner energy integration

Actual savings depend on site load profile, tariff structure, battery size and operating strategy. Solunar models this per site rather than promising a fixed figure.

Frequently Asked Questions

Savings depend entirely on load profile, tariff structure, battery size and EMS strategy. Solunar reviews your bill and interval load data to estimate savings, system size and payback per site.

Want to reduce your maximum demand charges?

Solunar can review your electricity bill, load profile and BESS feasibility. Before your next demand spike becomes another expensive bill, talk to our team.