Peak shaving reduces the amount of power that a plant purchases during peak demand hours from the power plant.
In the energy sector, peak shaving relates to the lowering of electricity consumption levels by users of industrial and commercial energy.
In several cases, such as in natural gas and electricity are most often seen in the system of peak shaving. The increase of intermittent resources such as renewable energy, the peak demand cycles has been much dramatically increased as solar energy cannot be generated at night.
There are several peak shaving techniques. Some of the most common solutions are generators and renewable energy powered by batteries.

Generators

The onsite generators are one of the main approaches to reduce energy needs during peak hours from utility companies. While the installation of generators capable of supplying a full facility involves an immediate cost, these costs can be compensated by energy consumption.

Energy storage

The peak shaving energy storage method is constantly producing and storing power instead of actively consuming energy during peak consumption times. This is usually performed with battery-powered with renewable energy. Sometimes, power can be stored in off-peak time and then used in peak hours.

Controllers

It is more efficient to use programmed controls so that certain devices do not work if the demand for power during the peak period is high. The limitation for controllers is that when it makes good business sense to do so, they can allow consumers to choose between expensive power and operating machinery.

Manual Intervention

The easiest and least reliable approach is to handle demand manually. In some cases or during peak hours, the plant manager can power off some machines.