This chapter focuses on important power quality and power management concepts and methods. Introduction to the concepts of demand and peak demand, in this chapter, should poise the reader well for investigation of the concept of load factor, its role in power quality considerations, and electrical energy cost reduction through peak shaving. Later in this chapter, the concept of service factor, as it applies to electrical equipment, is explained. This chapter concludes with discussion and analysis of large industrial power bill computation. The bill calculation examples are designed to help the reader develop skills and acumen to analyze and understand important components of large power bills, in their efforts to identify cost reduction opportunities. As with other electrical concepts presented in this text, analogies, mathematical and analytical models, are utilized to substantiate and affirm principles and concepts.