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What is Time of Day tariff? How it help in energy conservation?

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Time-off-day tariff:- In addition to basic tariff (Maximum Demand Tariff / KVA Maximum Demand Tariff / Load factor tariff /also the tariff in which P.F. of industrial consumer is taken into consideration.), consumer has to pay energy consumption charges according to time of a day for which energy is consumed. TOD energy meter is installed in the consumer premises. This meter is specially designed to measure energy consumption w.r.t. time. This type of tariff is such that energy consumption charges/unit are less during Off-load period Energy consumption charges/unit are more during Peak-load period. This type of tariff is introduced to encourage industrial consumers to run their maximum load during Off-load period.

Time-off-day tariff and Energy conservation: TOD tariff gives opportunity for the user to reduce their billing. During off peak hours they provide an incentive to shift consumption from peak to off peak periods. The off peak hours tariff charges are quite low in comparison to peak hour’s tariff. TOD tariff structure is implemented for industrial consumers as their load demands are very high. As the supply agencies get loaded as much near to the rated load for longer times of the day their overall efficiency gets higher helping to conserve energy.

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