I've heard the term before ... maybe applied to aircraft engines ... ?
Could it also mean the HP (or torque) available to run peripherals like super chargers, pumps, PTO's, etc? i.e., What's left over after you account for the basic torque needed for the engine's primary purpose (moving the vehicle and supplying basic vehicle needs like the coolant, electrical system, fuel system, etc)?
Just a thought. Sometimes, engineers borrow words like that that most people associate with something completely different. While accurate, and usually not incorrect, it still doesn't mean what we assume at first glance.
Having been abused by engineers in such fashion during my 3 decades as an Engineer to English Translator, it wouldn't be the first time I've seen this.

Don't get me wrong ....
Do I appreciate engineers and what they do for society? Yes. Absolutely.
Do I enjoy working with, and for, engineers? ...
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I'll get back to you on that.