Question
Download Solution PDFWhich of the following best describes the role of a Time-of-Day (ToD) Tariff in energy conservation?
Answer (Detailed Solution Below)
Detailed Solution
Download Solution PDFThe correct answer is option 4.
Time-of-Day (ToD) Tariff
A Time-of-Day (ToD) Tariff is a pricing scheme where electricity rates vary based on the time of day. During peak hours, electricity is more expensive, while during off-peak hours, it is cheaper. This encourages users to shift their electricity usage to times when demand is lower, leading to:
- Reduced stress on the grid during peak hours
- Better utilization of generation assets
- Overall improvement in energy conservation and efficiency
Last updated on Jun 7, 2025
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