Definition
Load factor is the ratio of average electrical demand to peak demand over a billing period, expressed as a number between zero and one (or a percentage). It measures how steadily a site uses electricity: a high load factor means the load is nearly constant and the grid connection is well utilized, while a low load factor means short, sharp peaks against long idle stretches forcing the utility to provision capacity that mostly sits unused.
Calculating it
Divide the total kilowatt-hours consumed in the period by the product of the peak demand (kW), the number of days, and 24 hours. As a rough guide, a load factor above 80% is excellent, 50 to 65% is average, and below 50% is poor. Most ordinary commercial buildings, with daytime-only operation, land around 40 to 60%.
Why miners have a structural advantage
A Hashcenter that runs its ASICs flat-out around the clock is one of the highest-load-factor customers a utility can have demand barely deviates from the average, so the load factor approaches 1.0. Utilities price for this: rate structures and demand charges reward high load factor, and customers who run continuously typically secure the lowest per-kWh supply rates and the most competitive bids. This is a quiet but real economic edge for always-on mining, and a lever to negotiate when signing a power contract.
Load factor pairs naturally with apparent power (kVA) when modeling both the size and the shape of your electrical demand.
In Simple Terms
Load factor is the ratio of average electrical demand to peak demand over a billing period, expressed as a number between zero and one (or…