Price Factors, Tariffs and 2026 Rules
Controlled load tariffs explained: off-peak hot water circuits and whether to keep them
What a controlled load (off-peak) tariff is, how it appears on your bill, when it saves money, and what changes with heat pumps, solar and free midday power.
A controlled load is a separately wired and metered circuit, most often for an electric storage hot water system, that your distributor switches on only during set hours. In exchange for that control, the usage rate is usually much lower than your main tariff, and many plans charge little or no extra supply charge for it. If you have an electric storage hot water tank that heats overnight, keeping it on a controlled load is usually cheaper than running it on your general tariff. The picture changes if you replace the tank with a heat pump, add solar you want to use for hot water, or switch to a plan with free midday electricity, because controlled load usage is not covered by the free window on the Solar Sharer Offer.
How to tell if you have one
Signs on your bill and meter box:
- A separate line labelled controlled load, off-peak hot water, CL1, CL2, dedicated circuit or similar
- In South East Queensland, tariff names such as Tariff 31 or Tariff 33 are common for controlled loads
- Two registers or two meters in the meter box, one wired to the hot water system
- Your hot water only heats at night or at certain times
The NMI is the same, but the controlled load has its own meter register and usage line on the bill.
Typical structures
Arrangements vary by network, and names differ. A general picture:
| Type (common names) | When power is supplied | Typical uses |
|---|---|---|
| Overnight controlled load (e.g. CL1) | A block of hours overnight, set by the network | Large storage hot water |
| Extended controlled load (e.g. CL2) | Overnight plus some daytime hours | Hot water, slab heating, pool pumps |
| Solar-window controlled load | Shifted to midday in some networks | Hot water heated by daytime solar output |
The network decides the exact hours and can move them; several networks have shifted some controlled load hours into the middle of the day to soak up solar. Ask your distributor or retailer what applies to your address.
Worked example: is the controlled load worth it?
Illustrative example only. A family's electric storage hot water uses 3,000 kWh a year.
- On the controlled load at 18 c/kWh: 3,000 × $0.18 = $540
- On the general flat rate at 33 c/kWh: 3,000 × $0.33 = $990
The controlled load saves about $450 a year in this example. If the controlled load attracts its own supply charge of, say, 5 c a day, add 365 × $0.05 = $18.25, which barely dents the saving.
Now suppose you install a heat pump water heater using about 1,000 kWh a year:
- Heat pump on the controlled load (if compatible): 1,000 × $0.18 = $180
- Heat pump on the general tariff, timed to run during a free midday window: possibly close to $0 for usage, but only if the plan's free window covers it and the unit actually runs then
Running costs for heat pumps and gas hot water are covered in more depth by guides on heating and hot water upgrades; here the point is the tariff choice.
Controlled load and the new free-midday offers
On the Solar Sharer Offer (NSW, South East Queensland and South Australia from 1 July 2026), controlled load usage is billed at controlled load rates and does not get the free power. On the Victorian Midday Power Saver, check the plan for how a dedicated circuit is treated. If you want a hot water system to use free midday power, it generally needs to be on the general circuit and timed to the free window, which may require an electrician to rewire it and a check that the plan suits your other usage.
See Solar Sharer and Midday Power Saver and the flat versus time-of-use worked example.
When to reconsider your controlled load
| Situation | What to consider |
|---|---|
| Electric storage tank, no solar | Keep the controlled load in most cases |
| Rooftop solar with large exports | Daytime heating may beat overnight controlled load, depending on feed-in tariff |
| New heat pump | Check compatibility with controlled load hours (heat pumps may run poorly on short overnight windows in cold weather) |
| Moving to a free-midday plan | Compare total cost with and without the controlled load |
| Gas hot water | Controlled load not relevant unless you go electric |
Rewiring a circuit is electrical work and must be done by a licensed electrician; any meter changes are arranged through your retailer and metering provider.
Comparing plans with a controlled load
When you compare on Energy Made Easy or Victorian Energy Compare, tell the tool you have a controlled load (or let it read your NMI) so plans show the right rates. Reference prices also differ: the DMO and VDO include separate figures for tariffs with controlled load. Check that the reference price percentage you are reading applies to the controlled load version. The pricing overview and the time-of-use guide explain the main tariff around it.
FAQ
Why is my hot water cold in the evening?
A controlled load only heats during set hours. A tank that is too small, or a change in network hours, can run out by evening. Ask your retailer about the hours or consider a booster setting.
Can I put my air conditioner on the controlled load?
Generally no. Controlled loads are meant for appliances that can be switched off by the network, such as storage hot water. Ask an electrician and your distributor.
Does every retailer offer controlled load rates?
Most retailers offer plans that include controlled load where the network supports it, but rates vary. Compare with the controlled load included.
Will removing the controlled load cut my supply charge?
Sometimes slightly, if the plan charged a separate supply charge for it. Check your bill.
Sources
- Energy Made Easy — "Understanding controlled loads" explainer and plan comparisons
- Australian Energy Regulator — DMO prices with and without controlled load
- Essential Services Commission — VDO tariffs with controlled load
- Victorian Energy Compare — compare Victorian plans including dedicated circuits
