Time of Use Tariffs (ToU)

How It Works 1
2024.07.22

What Are Time of Use Tariffs (ToU)?

Time of Use (ToU) tariffs are electricity pricing plans that charge different rates based on the time of day. In Ireland, these tariffs include peak rate, night rate, and day rate, encouraging consumers to use electricity during off-peak times when it is cheaper.

How ToU Tariffs Work:

  • Peak Rate: Higher rates during periods of high electricity demand, typically in the evening.
  • Night Rate: Lower rates during the night when demand is low.
  • Day Rate: Moderate rates during daytime hours outside of peak times.

Benefits of ToU Tariffs:

  • 1 - Cost Savings: Shift energy usage to night or day rates to reduce your electricity bill.
  • 2 - Energy Efficiency: Encourages efficient energy use and helps balance demand on the grid.
  • 3 - Environmental Impact: Reduces the need for additional power plants and cuts carbon emissions.

Optimising Your Energy Usage:

  • Appliance Scheduling: Use timers or smart devices to run appliances during night or day rates.
  • Energy Storage: Store energy in home batteries during off-peak times for use during peak times.
  • Real-Time Monitoring: Use smart meters to track energy usage and take advantage of ToU tariffs.

Example of ToU Tariffs in Ireland:

  • Peak Rate: 5 PM - 7 PM (higher rates)
  • Night Rate: 11 PM - 7 AM (lower rates)
  • Day Rate: 7 AM - 5 PM (moderate rates)

Relevant Links

For more information on related topics, check out these guides: