Off Peak vs On Peak Energy
What are the real costs?
What are Peak, Off Peak and Super Off Peak rates?
When you are on one of PSEG Long Islands TOU Rate Plans, Off Peak and Super Off Peak periods (the cheapest) make up more than 88% of the hours in the year. Only 12% or less of time throughout the year is in Peak (the most expensive).
- Super Off Peak: These time periods offer the lowest possible rates available for a time of use plan and enable the biggest cost savings. It’s basically the best time to use electricity to save money. PSEG Long Island Super Off Peak rates are discounted 40% from standard rates.
- Off Peak: During off-peak hours, electricity costs are roughly the same as on one of PSEG Long Island’s standard fixed rates that many customers are accustomed to paying (such as rate 180).
- Peak: This is the time when electricity is the most expensive to use. To save the most money, you should try to avoid consuming electricity during these times and shift energy use to when electricity rates are lowest.
- Overnight: PSEG Long Island provides yet another option – the Overnight Rate plan. The overnight rate plan is a simplified basic TOU rate plan, with only daytime and nighttime periods. For the Overnight Rate plan, the daytime rate is slightly higher than the standard rate, while the nighttime rate is at the same 40% discount as the Super Off Peak. The overnight block is an hour shorter than the Super Off Peak blocks and accounts for 29% of the hours in the year.
Benefits of Using Energy during Off Peak & Super Off Peak Hours
Consuming electricity during peak hours is more expensive, potentially worse for the environment, and causes more strain on the electrical grid. Switching to Time of Use and using more energy, when convenient, during off peak times is an easy way to lower your annual energy bills, potentially increase the use of environmentally friendly sources of energy and reduce outages. When energy demand is high and the most unpredictable, we are more likely to have to purchase energy from more expensive sources with the added downside that they may not be as environmentally friendly. There are also other “costs” associated with energy used at peak times that go beyond your energy bill that TOU helps us all avoid.
Lower Energy Bills
4 Rate Plans to Choose From
With the Short Peak rate, you can take advantage of Off Peak (lower cost) periods starting at 7pm and then the cheapest Super Off Peak from 10pm until 6am the next day on weekdays. There is only one 3 hour period (4pm until 7pm) during weekdays when energy costs fall in the peak pricing time period. Weekends and holidays have off peak periods all day!
This plan pushes both Off Peak and Super Off Peak hours back an hour, starting at 8pm and 11pm respectively. If you are an early riser, this rate will give you more time in the morning to use energy and save. Peak hours are from 4pm until 8pm weekdays. Weekends and holidays have off peak periods all day!
The Early Peak plan gives you the same number of hours of savings as Late Peak, with both Off Peak and Super Off Peak hours starting an hour earlier, 7pm and 10pm respectively. Weekends and holidays have off peak periods all day!
With this plan you get Super Off Peak pricing for 7 hours at night–from 11pm until 6am–but with a slightly higher cost than the standard rate during the day. This plan could work well for you if you need to use a little more energy during the afternoon and early evening (peak hours on other plans) but you normally consume most of your energy during super off-peak hours.