Time-of-Use vs. Tiered: Which Ontario Electricity Plan Should You Be On?

Feature TOU (Time-of-Use) Tiered Pricing How you’re charged Price changes by time of day: Off-peak (cheapest): evenings, nights, weekends On-peak…

Feature	TOU (Time-of-Use)	Tiered Pricing
How you’re charged	Price changes by time of day: Off-peak (cheapest): evenings, nights, weekends On-peak (highest): weekday mornings & late afternoons	Price changes by how much you use: Lower rate up to 600 kWh (summer) / 1,000 kWh (winter) Higher rate above that
Rates	3 time-based prices	2 usage-based prices
Does timing matter?	Yes — shifting usage saves money	No — price only changes if you pass the threshold
Best for	People who can shift usage to evenings/weekends	People with steady, moderate usage
Examples	EV drivers, commuters, smart home users	Daytime caregivers, retirees, remote workers
Bill predictability	Less predictable — different habits can cause jumps	More predictable — easier to budget
Effort required	High: shift usage to off-peak hours	Low: “set it and forget it”
Plan flexibility*	Switch anytime, no penalty	Switch anytime, no penalty

Feature	TOU (Time-of-Use) →	Tiered Pricing
How you’re charged	Price changes by time of day: Off-peak (cheapest): evenings, nights, weekends On-peak (highest): weekday mornings & late afternoons	Price changes by how much you use: Lower rate up to 600 kWh (summer) / 1,000 kWh (winter) Higher rate above that
Rates	3 time-based prices	2 usage-based prices
Does timing matter?	Yes — shifting usage saves money	No — price only changes if you pass the threshold
Best for	People who can shift usage to evenings/weekends	People with steady, moderate usage
Examples	EV drivers, commuters, smart home users	Daytime caregivers, retirees, remote workers
Bill predictability	Less predictable — different habits can cause jumps	More predictable — easier to budget
Effort required	High: shift usage to off-peak hours	Low: “set it and forget it”
Plan flexibility*	Switch anytime, no penalty	Switch anytime, no penalty