Off-Peak Electricity Hours

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What does ‘peak’ and ‘off-peak’ electricity actually mean?

When are ‘peak’ and ‘off peak’ hours?

What’s the cheapest time of day to use electricity?

What types of electricity plans offer off-peak tariffs?

How do you get a time-of-use electricity plan with off-peak tariffs?

What are the benefits of switching to a time-of-use tariff?

Lighten up your electricity bill (and your life)

Long story short

Peak vs. peak electricity

Peak hours are when everyone’s using power (like evenings), and off-peak are the quieter times – which can come with cheaper rates.

State-by-state off-peak times

Off-peak hours vary across states and providers. For example, in QLD off-peak runs from 9 am-4 pm, while SA is usually 1 am-6 am.

Solar and off-peak tariffs

A solar time-of-use tariff lets you use your panels or battery during peak times, cutting your need on the main grid.

Switching to off-peak rates

To get off-peak rates you’ll need to switch to a ToU tariff, add off-peak rates to your plan and possibly add a smart meter to get started.

Big savings potential

Using off-peak electricity can lower your quarterly bills and reduce strain on the grid. It’s a win for your wallet and your energy distributor.

What does ‘peak’ and ‘off-peak’ electricity actually mean?

By 5 pm, most Aussies are kicking off their evening routines. For many households, that means stacking the dishwasher with breakfast plates, getting dinner on the go, and throwing all the kids’ mud-stained uniforms in the wash. For most of us, the evening hours are a time to unwind, but for the power grid, it’s game time.  

These busy evening hours are what energy providers call ‘peak’ times because most households are using plenty of electricity all at the same time. To help give the grid a bit of a breather, many energy providers offer discounts if you use power outside of these ‘peak’ hours.  

So, if you can tweak your habits – like throwing the wash on before bed or setting the dishwasher as you leave for work – you’re not just helping take some weight off the grid, but you might score yourself a cheaper bill too.  

Of course, this doesn’t mean you need to tiptoe around your appliances during peak hours. It’s more about being mindful of when to fire up those energy-hungry appliances, like washing machines and ovens.

When are ‘peak’ and ‘off peak’ hours?

‘Peak’ and ‘off-peak’ hours can change depending on which state you live in and your energy provider. But as a quick guide, we’ve pulled together some weekday examples from the states iSelect compares. Click to see what peak and off-peak hours might look like in your state.  

Remember, for the most accurate info, it’s best to check the details with your electricity provider or distributor.  

What’s the cheapest time of day to use electricity?

The cheapest time to use your electricity? Well, if you’re looking at a time-of-use (ToU) tariff alone, then it’ll be during off-peak hours. But this doesn’t mean a ToU tariff always has the cheapest option, it really depends on your electricity usage habits.  

If you’re set on a ToU tariff for your home, here’s a snapshot of 2024-25 peak charges (between 3-9 pm) and off-peak charges (all other times) for residents in Victoria—just as an example. We’ve broken these numbers down by distributor, using the Victorian Default Offer (VDO) as a baseline. Remember, you might pay less on a retail or market offer, but these figures give you a broad idea of how a ToU tariff might stack up in your home. 

What types of electricity plans offer off-peak tariffs?

To be able to get off-peak charges on your side you’ll need two things: the right kind of meter and an electricity plan for time-of-use tariffs. Once you’ve got these it should be smooth sailing ahead.  

While choosing a plan with the right tariff is important, you can’t do this without the right type of meter. If you want to use off-peak charges, then you’ll need a digital meter that’s configured to collect the right data for a time-of-use tariff. Unlike older meters where the data was read manually each quarter, digital meters record your data every 30 minutes so your provider can tell exactly how much energy you’re using and when. But switching over to a digital meter could mean more upfront costs, so don’t make your decision lightly.  

The type of tariff on your electricity plan sets the rules for how you’re charged, and whether off-peak rates are available to you depends on your tariff. If you’re keen to jump on the ToU bandwagon, it’s worth checking if it’s a simple switch or a little more complex.  

If you’re on a ToU then you should already be using off-peak tariffs, the same goes for two-rate tariffs. The difference is that two-rates only have peak, and off-peak charges, while some ToU tariffs have shoulder periods (which fall between peak, and off-peak). If you have a dedicated circuit or controlled load tariff, for things like your hot water system, you’ll also be able to use off-peak timings.  

But if you’re on a single-rate tariff, which most homes are, you won’t be eligible without a few substantial changes. Single-rate plans charge the same rate 24/7, and your meter probably only tracks usage once a day. So, if you want to flip over to a time-of-use plan, you’ll need to balance out any meter installation costs and other factors to make sure it’s the right choice for your home.  

Helpful tip:

If you’ve got solar panels, you might be able to switch to a solar ToU tariff. It works like a regular ToU tariff, but with a bonus: you can use your own self-generated solar power during peak times. This means you rely less on the main grid during expensive peak hours and can potentially save even more by tapping into cheaper off-peak or shoulder rates when needed. Check with your provider to see if this option is available. 

Julia Paszka

General Manager – Utilities

How do you get a time-of-use electricity plan with off-peak tariffs?

If you’ve decided that an electricity plan that offers off-peak (or ToU) tariffs is your best option for getting a little bit more back into your savings account, then switching over is simple. Here’s all you need to do: 

1. Check your bill: Are you already on a ToU tariff? If you are then your problem is solved! But if you aren’t it’s time to make a change to benefit your wallet.
2. Call your provider: If you’re not on a ToU tariff all you need to do is call up your electricity provider and request to change to a time-of-use tariff (if it’s available in your area).  
3. Sort out your meter: If you’ve already got a smart meter you should be all good. But if not you’ll need to consider the meter costs associated with swapping over to a ToU tariff.  

Once you’ve been swapped over make sure to double-check your Energy Plan Documents (in VIC/WA) or Basic Plan Information Documents (ACT, NSW, SA and QLD). These handy forms will spell out your exact peak and off-peak hours, so you know when to charge up and when to chill.  

What are the benefits of switching to a time-of-use tariff?

Switching to a plan that includes an off-peak tariff could help you save each quarter (especially if you already use most of your power during off-peak times). 

Other than a (hopefully!) lower electricity bill, switching to a ToU tariff should help you to better understand your electricity usage patterns. It’s also a great eye-opener to see how shifting your energy use can make a difference – kind of like discovering that turning down your toaster setting doesn’t slow it down; it just turns down the heat!   

But switching over to a ToU tariff doesn’t just mean saving money or interesting insights. You’re also helping to ease pressure off the main grid and cutting down emissions. That’s a win for your wallet and the planet.   

Check your meter type

Only digital or smart meters can send your provider your usage information daily. Without one, you can’t track your peak and off-peak usage.

Availability matters

ToU tariffs aren’t available everywhere, so you need to check if they’re an option in your area first.

Use an app

If you’ve got a smart meter, you can download your retailers’ mobile app to monitor your usage patterns in real-time. This can be a great way to see how much you’re using in peak times.

Switch big appliances to a controlled tariff

For energy-hungry appliances like underfloor heating or water heaters, a controlled tariff can save you some money on your bills. It works like off-peak tariffs, but with separate wiring to ensure those devices only run during cheaper hours. So, there’s no need to stress about your bill if you like a piping hot shower every night.

Lighten up your electricity bill (and your life)

Feeling the pinch from rising costs? Switching to an off-peak electricity plan could help you save without sacrificing your comfort. Compare a range of electricity plans and providers with iSelect and find one that matches your energy usage habits. Call our team of comparison experts on 1800 664 532 or start comparing online. It’s quick, and simple and might just be the easiest way to take control of your bills.