An important component of the New England Electric System Companies' (the 'System') total electricity sales is attributable to commercial customers. Commercial growth has recently been strong; moreover the System's peak demand is highly sensitive to commercial load. In a typical month this class represents 33 per cent of total System sales. Accurate short‐run forecasts of total kWh sales are important for rate making, budgeting, fuel cause proceedings, and corporate planning. In this study we use a variety of econometric and time‐series techniques to produce short‐run forecasts of commercial sales for two geographical areas served by two separate retail companies;.
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Watson et al. (1987) studied this question.