A utility billing structure that charges customers different prices for electricity depending on when they consume it. Rates are highest during peak demand hours, such as late afternoon in summer, and lowest overnight. This economic signal encourages consumers and automated grid systems to shift heavy loads, like electric vehicle charging, to off-peak periods, reducing the strain on generation infrastructure.
Heard on the job
We programmed the site controller to stop the heavy pumps at 4 PM to avoid the brutal time-of-use rates during the evening peak.
Also heard as
- TOU rates
- time-of-use pricing