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Exceeded Capacity Charge

Network Charges

A penalty charge applied when your electricity demand exceeds the agreed maximum capacity for your supply - typically charged at 2-3 times the standard capacity rate.

When you connect a larger electricity supply, you agree a Maximum Import Capacity (MIC) with your DNO - the highest demand (in kVA) you'll draw at any moment. If your actual demand exceeds this agreed level, you pay exceeded capacity charges at penalty rates.

How exceeded capacity charges work:

  • Only applies to half-hourly metered supplies (Profile Classes 00, 05-08)
  • Measured against your agreed capacity (MIC) in kVA
  • Charged in pence per kVA per day (p/kVA/day)
  • Penalty rates typically 2-3 times higher than standard capacity rates
  • Based on the highest recorded demand in the billing period

Why DNOs charge this: Network infrastructure is designed based on agreed capacity levels. When customers exceed their agreed capacity, they're using more network capacity than was planned for, potentially causing stress on local equipment.

Avoiding exceeded capacity charges:

  • Monitor maximum demand regularly
  • Set up demand management alerts
  • Request a capacity increase if consistently exceeding
  • Review operational patterns that cause demand spikes

Bill validation tip: Check your maximum demand readings against your agreed capacity. If you're being charged exceeded capacity but your readings show you stayed within limits, this is a billing error.

Example

Exceeded Capacity: 25 kVA over x 4.50 p/kVA/day x 31 days = £34.88

Related terms

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