A method performed by a central network device, such as a network edge device, or a CMTS, determines whether some of a plurality of user devices coupled to a communication device are transmitting at substantially their respective maximum power output level over a given channel. If the central device determines that some of the devices are operating at near their maximum output level (“power pegged,) the central device searches for another channel that can carry the traffic of the power pegged devices at reduced data rate. If another channel can accommodate transmission of signals of the power pegged device, the central device instructs the power pegged devices to tune to the new channel at a reduced data rate compared to the data rate of the current channel.