Some electricity plans are linked to the wholesale electricity market. This means the price you pay changes throughout the day based on how much electricity is being used across the grid.
When demand is high—like on very hot days—prices can spike, and using power at these times can become very expensive. But when demand is low—such as during the day when solar panels are feeding energy back into the grid—prices can drop, and you can save money by using power then.
If you choose a plan like this, you’ll need to keep a close eye on electricity prices during the day. To avoid high bills, you’ll need to limit your usage when prices are high and shift your usage to cheaper times. This means being actively involved in deciding when to run things like washing machines, heating, or air conditioning.
If you just go about your usual routine and ignore the price changes, you might end up with unexpectedly high bills. But if you're able to monitor prices and adjust your usage, you could save a lot.
