Demand Tariffs are created by energy networks to give an incentive for customers to reduce their energy use during peak times in the energy grid. Your energy network is the company that delivers your energy to your home once you purchase it through Amber.
By creating a penalty of sorts for consuming energy at these times, demand tariffs have been designed to smooth out the peak times when electricity is consumed, reducing pressure being placed on the electricity grid.
However, this only really works if people know about them - and how to save when they're on them.
Ways to save
The main way to save is to avoid using most of your energy during your demand window, when the demand charges apply.
If that isn’t possible try to avoid using more than one high power device at a time during this period. By only running one thing at a time, your maximum usage at any given point will be lower.
This helps since demand charges are based on your highest 30 minute period during a given period (usually a month). Usually, the demand periods apply only during a window each day (e.g. between 3-8 pm) and your highest 30 minutes of usage during this window will set the cost for the whole month.
For more information on how demand tariffs work, check out this explainer.
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