Load Factor Calculator (Maximum Demand & Demand Factor)

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Updated November 2, 2026
Load Factor Calculator (Maximum Demand & Demand Factor): formula and free online calculator

Load factor compares the average load over a period with the peak, or maximum demand, so it shows how steadily a plant uses its electrical capacity. This load factor calculator works out average load, load factor and demand factor from a bill's kWh and kW figures — see maximum demand calculation with diversity for estimating the peak at design stage.

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Type in any field to change it. Press × on a value to calculate that field instead.

How to use the load factor calculator

Enter the energy consumed (kWh) and the length of the period from your electricity bill or meter readings, the maximum demand recorded in that period and, optionally, the total connected load. The calculator returns the average load, the load factor and the demand factor.

Load factor formulas

Average load = E ÷ t  ·  Load factor = Average load ÷ Maximum demand

Demand factor = Maximum demand ÷ Connected load

Example

A factory used 216,000 kWh in a 30-day month with a recorded maximum demand of 500 kW and 800 kW of connected load:

  • Average load = 216,000 ÷ 720 = 300 kW
  • Load factor = 300 ÷ 500 = 60%
  • Demand factor = 500 ÷ 800 = 62.5%

Energy for a 500 kW maximum demand

Load factor kWh per 30 days MWh per year Equivalent full-load hours per day
20% 72,000 kWh 876 MWh 4.8 h
30% 108,000 kWh 1,314 MWh 7.2 h
40% 144,000 kWh 1,752 MWh 9.6 h
50% 180,000 kWh 2,190 MWh 12.0 h
60% 216,000 kWh 2,628 MWh 14.4 h
70% 252,000 kWh 3,066 MWh 16.8 h
80% 288,000 kWh 3,504 MWh 19.2 h
90% 324,000 kWh 3,942 MWh 21.6 h

Notes

  • Utilities measure maximum demand as the highest average over a 15- or 30-minute window, not the instantaneous peak.
  • With kVA-based demand tariffs, improving power factor also cuts the billed maximum demand.
  • The transformer only needs to be sized for the diversified maximum demand, not the connected load — see the transformer size calculator.

Frequently asked questions

How do you calculate load factor?

Load factor = energy consumed ÷ (maximum demand × hours in the period). 216,000 kWh in a 30-day month (720 h) with a 500 kW maximum demand gives 216,000 ÷ 360,000 = 60%.

What is a good load factor?

Higher is better — continuous process plants reach 70–90%, while offices and single-shift factories are often 20–40%. A high load factor means fixed demand charges are spread over more kWh.

What is the difference between load factor and demand factor?

Load factor is average ÷ peak load over time. Demand factor is maximum demand ÷ total connected load, and shows how much of the installed equipment runs at the same time.

How can I improve load factor?

Reduce the peak rather than the energy — stagger motor starts, shift batch loads to off-peak hours and use demand controllers or energy storage.

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