Beat the Peak: How to Save Big with Time of Use Energy Plans

Beat the Peak: How to Save Big with Time of Use Energy Plans

Ever feel like your power bill is playing tricks on ya? One month it’s low, the next it’s through the roof. If you’re looking to keep more of your hard-earned cash, a Time of Use (TOU) energy plan might be the ticket. These plans reward folks who shift their power use to the right time of day, and this article is here to show you how to put them to work for you.

What Is a Time of Use Energy Plan, Anyway?

A TOU plan is a way of pricing electricity based on when you use it. Power costs more when demand is high, like in the evenings when everyone’s flipping on lights, cooking dinner, and running their A/C. But during off-peak hours – typically late at night and early in the day – power is cheaper. So if you can shuffle your major energy use to those low-cost hours, you’ll see real savings.

TOU vs. Other Energy Plans: What’s the Difference?

Fixed-Rate Plans

Pay the same price per kilowatt-hour no matter when you use it. That means stable bills, but no extra savings for smart usage.

Variable-Rate Plans

Prices change with the energy market, sometimes daily or even hourly. It’s a gamble – some months you win, others you don’t.

TOU Plans

Thanks to set prices for peak and off-peak hours, you know exactly when to power up and when to lay low. With a TOU plan, you get control over your costs. If you’re the type who doesn’t mind doing laundry or running the dishwasher at odd hours, you can make this plan work in your favor.

How to Save with a TOU Plan

So how do you make the most of a TOU plan? It’s all about timing and smart habits. 

• Shift Big Energy Draws: Run your washer, dryer, dishwasher, and charge your EV during off-peak hours.

• Get Smart with Your Thermostat: Program it to cool or heat your house when power’s cheaper and ease up when it’s pricey.

• Use an Energy Monitor: These handy gadgets track when and how you use power so you can tweak your habits.

• Try a Smart Plug or Power Strip: Plug in your TV, gaming consoles, and other electronics – and then shut them off when not in use.

• Look Into Net Metering: Got solar panels? Some Retail Electric Providers let you sell excess energy back to the grid, which can help offset peak-hour costs.

Common Hiccups and How to Handle Them

Switching to a TOU plan might take a little adjustment. Here’s how to deal with common bumps in the road. 

• Family Not on Board? Explain the savings and set up reminders for when to run appliances.

• Working from Home? If you can’t avoid peak-time power use, look for plans with longer off-peak hours.

• Unexpectedly High Bill? Check your usage patterns, make sure you’re sticking to off-peak hours, and call your provider to see if there’s a better plan for your lifestyle.

FAQs 

When’s the priciest time to use electricity in Texas?

Peak hours usually hit around 4:00 to 9:00 pm on weekdays, right when folks get home and crank up the AC. The cheapest time? That’s overnight, from 9:00 pm to 6:00 am. Double-check with your electric company to be sure.

What changes do I need to make for a time-of-use plan to work?

The biggest thing is shifting high-energy chores to the cheaper hours. Think running the dishwasher at bedtime, doing laundry in the morning, or charging your EV while you snooze. Little tweaks like that can add up to big savings.

Are there any gadgets to help me keep my electric bill in check?

Oh, you bet! Smart thermostats, mobile apps, and even fancy monitors that hook up to your breaker box can help you track your usage. Technology’s making it easier than ever to keep tabs on your power habits and save some cash.

Can I switch back if a time-of-use plan isn’t working for me?

Absolutely! You can hop back onto a fixed or variable rate plan without losing power. Just keep an eye on that fine print, because if you’re locked into a contract, there might be an early exit fee. Give your electric provider a ring to see your options.