How time-of-use pricing bands work in electricity bills and how to leverage them to reduce energy costs.
The time-of-use system divides the 24 hours of the day into three periods with different prices, reflecting varying energy demand throughout the day.
The three bands
- F1 (peak hours) — Monday to Friday, 8:00 AM to 7:00 PM (excluding national holidays). The most expensive band because industrial and commercial demand is at its peak.
- F2 (mid-peak hours) — Monday to Friday 7-8 AM and 7-11 PM, Saturday 7 AM-11 PM. Intermediate pricing.
- F3 (off-peak hours) — Monday to Saturday 11 PM-7 AM, Sundays and holidays all day. The least expensive band.
How much you can save
The price difference between F1 and F3 can range from 15% to 40% depending on the period and market conditions. For a company consuming 500,000 kWh/year, shifting just 10% of consumption from F1 to F3 can mean savings of several thousand euros.
How to optimize
Key strategies include scheduling high-consumption machinery during nighttime or weekends, using energy storage systems to store energy during cheaper hours, and installing timers and building automation systems. An analysis of hourly load profiles helps identify specific opportunities for each production site.
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