Demand charges (peak kW rather than kWh) are very common in commercial and industrial.

It's very rare a residential house has a 50kW kiln, so those kinds of spikey loads basically balance out over a subdivision.

Although interestingly, an unintended side-effect of aggressive time-of-use pricing is the entire subdivision has programmed their air conditioners or EV chargers to turn back on right at 9pm when peak pricing ends. That kind of unintended mass-coordination DOES create sometimes-problematic high demand spikes.