Different types of businesses consume power in different ways. For example, imagine two different businesses: Each uses the same amount of power in a year, but one uses power on a relatively continuous, stable basis while the other uses small amounts of power at some times and lots of power at other times.
Even though both businesses use the same power overall, the cost of producing and delivering power for the first is typically much lower than for the second.
The Demand plan is designed for businesses that can dependably use power on a more stable basis. It allows you to enjoy a lower average rate for power, but if your business does have power spikes then the rate will increase to reflect the additional cost to produce energy for your business.