With Tiered prices, you can use a certain amount of electricity each month at a lower price. Once that limit (called a threshold) is exceeded, a higher price applies. For residential customers, the threshold normally changes with the season to reflect changing usage patterns – for example, there are fewer hours of daylight in the winter and some customers use electric heating.
In the summer period (May 1st – October 31st), the Tier threshold for residential customers is 600/kWh. In the winter period (November 1st – April 30th), the Tier threshold for residential customers is 1000/kWh.
For small business customers, the Tier threshold is 750/kWh all year round.
Tiered prices give you the flexibility to use electricity at any time of day at the same price, although that price will change if you exceed the threshold during the month.