High electricity bills remains to be a pressing issue for many Australian households. The good news is that there are several things that you can easily do to lower your bills. You can start by changing how and when you use your energy.
Oftentimes, households use hot water and certain appliances before and after work, which in turn, creates a high demand for energy during specific times of day.
However, if you can start shifting your energy use to other times of the day, many energy retailers offer lower rates that can help you save money.
Making the most out of of time-of-use pricing by using energy outside of peak hours may go a long way to reducing energy costs.
Time-of-use pricing means you’re charged at different rates, depending on the time of day that you use energy.
Prices are commonly divided between peak (2pm–8pm weekdays), shoulder (7am–2pm and 8pm–10pm on weekends) and off-peak (all other times) with off-peak obviously the least costly.
Utilising off-peak hot water and smart or interval metering are two such ways to make use of time-of-use pricing. Let’s take a closer look into each one:
Off-peak hot water
On average, hot water comprises up to a quarter of household energy so shifting an existing storage hot water system to an off-peak tariff can potentially save you money on your energy bill.
This way, with this kind of system, your water is only heated during the off-peak time period when energy prices are lower than usual.
However, you should also be aware that off-peak systems do not use less energy or generate fewer greenhouse gas emissions just because they’re only heating water during off-peak periods.
In fact, a lot of off-peak systems utilise more energy, as they are often larger to store hot water for use whenever it’s needed.
A smart meter measures the amount of electricity you use and when you use this, and then, sends this information back to your electricity retailer. Your retailer then uses this information to ensure that your electricity bill is accurate.
Smart meters can also remotely do thing such as measure the power quality at your home and notify your electricity distributor when the power conks out.
Your electricity retailer would also provide you with more precise information about your electricity use through a website or app. This can help you understand more how power is being utilised at your household