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Peak shaving, also known as load shedding, refers to the practice of reducing electricity usage during periods of high demand to avoid expensive demand charges and peak-hour electricity rates. It's an effective way to manage energy costs, especially for industrial and commercial users. This is about changing when energy is used, not necessarily how much is used. This technique, often employed within industrial, commercial, and. . Load shifting is a technique that can be used to reduce the demand on the electric grid during specific times of day, improving its resiliency.