Time-of-Day (ToD) Electricity Billing Explained

5 min read · Updated 21 July 2026

Time-of-Day (ToD) billing prices a unit of electricity differently depending on when you consume it: more during evening peak hours, less (often a rebate) during off-peak and solar hours. It has long applied to commercial and industrial consumers, and with smart meters it is progressively reaching domestic consumers across India.

Why ToD exists

Electricity is expensive to supply when everyone wants it at once (evenings) and cheap when solar generation floods the grid (midday). ToD passes that cost signal to you: shift flexible loads away from the peak and both you and the grid save. Under the national framework, ToD tariffs are mandatory for most commercial/industrial consumers and roll out to domestic consumers as smart meters are installed.

How the rate structure works

Your DISCOM's tariff order splits the day into windows, each with a surcharge or rebate applied on top of the normal energy rate. A typical structure (exact windows and percentages vary by state — check your DISCOM's tariff page):

WindowTypical hoursTypical pricing
Peak~6 pm – 10 pm (and often a morning peak)+10% to +20% on the energy rate
NormalDaytime outside solar/peak windowsStandard energy rate
Off-peak / solarLate night, and ~9 am – 4 pm solar hours−10% to −20% rebate

Your meter records consumption per window; the bill then shows a ToD surcharge/rebate line alongside the normal energy charge.

ToD vs kVAh billing — not the same thing

ToD changes the price by time. kVAh billing changes the quantity being measured: instead of kWh (real energy) you're billed on kVAh (apparent energy), which includes reactive power. A poor power factor makes kVAh exceed kWh, so the same appliances cost more. Many DISCOMs apply both to commercial/industrial connections — our calculator supports both where a DISCOM uses them.

How to actually save under ToD

  • Shift the shiftable: washing machine, dishwasher, water pumping, geyser pre-heating and EV charging into off-peak or solar hours (timers and smart plugs make this automatic).
  • Pre-cool before the peak: run the AC harder in the cheap solar window and ease it during 6–10 pm.
  • Pair with rooftop solar: daytime self-consumption already offsets the window where grid power is cheapest, so size the system for your evening needs — see our solar savings estimator.
  • Mind the batch loads: for shops and small industry, moving compressor, pumping or refrigeration-defrost cycles off the evening peak is usually the single biggest win.

Frequently asked questions

Does ToD billing apply to home (domestic) connections?
Increasingly, yes. ToD has long been mandatory for most commercial and industrial consumers; under India’s smart-metering framework it extends to domestic consumers once a smart meter is installed, with peak surcharges and solar-hour rebates defined in each state’s tariff order.
What are typical peak hours for electricity in India?
Evening peak is typically around 6 pm to 10 pm, and many states also define a morning peak. Solar hours (roughly 9 am to 4 pm) are increasingly treated as the cheapest window. Exact windows are set by each state’s regulator and printed in the tariff order.
What is the difference between kWh and kVAh billing?
kWh measures real energy consumed; kVAh measures apparent energy, which also reflects reactive power drawn by motors and poor-power-factor equipment. Under kVAh billing, a power factor below 1 inflates billable units — improving power factor (e.g. with capacitors) directly cuts the bill.
Can ToD billing reduce my bill?
Yes — if you shift flexible loads (EV charging, pumping, laundry, water heating) into off-peak or solar-rebate windows, the same total consumption costs less. Consumers who cannot shift any load away from evening hours may see a small increase instead.

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General guidance based on publicly available tariff orders and regulations; specifics vary by state, DISCOM and consumer category. Verify against your DISCOM's official schedule or your printed bill.