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Discuss Loading unit flow rate Vs simultaneous use flow rate in the USA area at PlumbersForums.net

I believe it's because they assume you will rarely if ever have all the outlets running at full blast all at the same time.

A bit like how sparkies can sometimes get away with using a smaller cable for a given number of socket because they don't need to account for a 3 bar electric fire running on every socket on a ring even though it's theoretically possible to do so.

There's a word for that but it totally escapes me right now.
 

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