Smart Meters Can Lower Hydro Costs

Posted Jun. 23rd 2011 under Real Estate Tips

With hydro costs increasing in recent years, many energy providers in Canada are looking towards time-associated electricity billing as an alternative to hitting customers with a large, flat rate, price hike. Instead, the new billing method will charge a variable rate per kilowatt hour, depending upon what demand there is on the hydro grid at that time of day.

Hydro providers maintain that the new system will advocate price awareness, and create a culture of conservation. Estimates predict that once all customers are accustomed to the new technology, energy usage could drop by as much as 15%. In January, an initiative was passed by the Ontario Energy Board to start the installation of 800,000 new smart meters by the end of 2007. Not only that, the board also decided that all homes in the province will be converted to the new meters by 2011! Regardless of where you might live in Canada, time-related billing is the wave of the future. For the majority of Canadian homeowners your hydro bill in future years will reflect not only what amount of energy you use, but also when you used it. Are you ready to alter your daily energy usage habits to adapt to the new system? First, you'll need to understand exactly how the new kilowatt/hour rates will be changing. Hydro providers will charge you more at those times of day when everyone else is using lots of electricity too; peak rate periods will include early morning, when families are getting ready for work and school, meal times, and prime time TV watching hours. The reverse is also true, as companies will charge less during quiet mid-day hours, with the lowest rates charged overnight.

Knowing this, there are a few simple ways you can make quite an impact on your overall hydro bill for the month. You could load your dishwasher after your dinner as always, but instead of running it right away in peak hours, you wait until you go to bed to actually run it. This way you'll be buying power at the cheapest rate -- overnight. You could also adjust your thermostat by a degree from 6 -10pm, turning it down in winter and up a degree in summer to reduce your energy consumption during prime time. Do you have an air filter or humidifier in one or more rooms in the home? Have them run through the night and unplug them in the day. They should still keep the air clean and moist all day long, yet you avoid using electricity during peak hours. If shutting off or unplugging devices throughout your home every day sounds a little tedious, remember timers are a great way to avoid the hassle of monitoring what hours of the day appliances in your home are on. Even small things like charging your cell phone overnight, or doing a virus check on your computer during non-peak hours are habits that could lower your hydro costs over the long run with a time-based system.