A method for reducing peak electrical demand of a building includes generating a baseline electrical demand profile over a target time period from a model. The baseline electrical demand profile can be used to define a policy including a peak management period having at least a first sub-period and a subsequent second sub-period, the first sub-period having a first temperature set point for at least one air handling system of the building that is different from a normal operating temperature set point, the second sub-period having a second temperature set point different from both the normal operating temperature set point and the first temperature set point, and implementing the policy. The model can be generated from one or more of historical electrical data for the building, weather forecast data, building and equipment operating schedules, sales data, and data based on information received from a video camera located in the building.