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Off-peak electricity tariff.
When Are Electricity Rates the Lowest? (2025 Guide)
Factors That Influence Your Energy Cost
Aside from the time of day, there are many other factors that can affect the price you’ll pay per kilowatt-hour (kWh).
We’ll discuss these other factors in greater detail below.
Your Energy Plan
One of the most significant factors that can influence the price you pay for electricity is your energy plan.
On-peak and off-peak hours electricity
In states where the energy market has been deregulated, you have an energy choice, meaning you can choose different electric suppliers and various energy plans. Even in states that aren’t deregulated, you might have your choice of energy plans from your supplier.
The different types of plans can dictate how much you’ll pay for energy at any given time.
Under a fixed-rate energy plan, for example, you’ll pay a set rate per kWh that won’t change no matter what. Variable-rate plans have per-kWh rates that change based on local electricity prices and demand, which means they can rise during peak hours and drop during off-peak hours.
Energy plans all have individually set elec
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