Did you know that under some contracts, you could possibly save on energy costs if you use it outside peak hours, oftentimes from 10 at night until 7 the next morning?
This provision can be very beneficial for households that are looking for means to slash their energy bills. But as a start, you need access to off-peak water or time-of-use pricing
Avoid the peak
In an average household, hot water comprises an estimated 25% of energy use so shifting to an off-peak tariff can most definitely save you more money in the long run.
An off-peak storage hot water system would heat your water during the cheaper, off-peak times of the day and keep it until you need it. It’s only accessible with a number of electric hot water systems and through some providers so you’ll need to get in touch with your energy retailer to check if your house can take advantage of this option.
It’s also crucial to note that making use of off-peak hot water does not actually reduce your hot water use so it doesn’t help to lessen greenhouse gas emissions.
Time-of-use pricing
There are more choices now as to how you purchase energy, and how this is computed. Over time, your bill would most likely change from honing in on how much energy you utilise across a billing period, to how much demand your household pins on the network during peak hours of the day.
It would be to your benefit to be on a contract that offers you the lowest bill. This would be the one that best suits your overall use and time-of-use pattern. You should take a closer look at your bills on a consistent basis to confirm that you are still on what’s ideal for you.
Depending on where you reside, there are several tariffs available that can help you save if you can lessen your energy use during peak times. Time-of-use pricing provisions, which are also known as demand-based tariffs, mean that the cost of your energy change depending on what time of day you use it.
Time-of-use tariffs are often divvied into two or three periods— these are peak, shoulder and off-peak. The exact time periods these cover are determined by individual energy retailers, so you’ll need to ask for the specific times when you sign up.
Before making a call to move to a different billing system, you need to carefully assess your household’s timetables and energy use to check whether time-of-use pricing is really for you. To access time-of-use pricing you would also need to have an interval or ‘smart’ meter installed.
These new electronic meters gauge your energy use in 30-minute intervals. With traditional meters, you really can’t tell how much energy you are using until you see your bill, but smart meters can be linked to a wide range of monitors and displays that make your energy use patterns more transparent. These figures can help inform you of your household’s habits and help you utilise energy at cheaper times of the day.