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Off-Peak Hot Water | How to Override Off-Peak Hot Water

Off-Peak Hot Water | How to Override Off-Peak Hot Water

Last updated on July 2, 2025

Are you tired of shivering throughout a cold morning shower?

You’re not alone­.

Don’t worry, though; there is a way around this, you can simply override­ the off-peak hot water syste­m to start enjoying warm, comfortable showers.

Also read: How Long Do Hot Water Systems Last?


<5 Signs You're Paying Too Much for Hot Water
1

Skyrocketing Energy Bills

Your monthly energy costs have increased dramatically without changes to your usage habits. Hot water typically accounts for 15-20% of your energy bill, so sudden spikes often indicate inefficiency.

2

Inconsistent Water Temperature

You’re constantly adjusting the thermostat or experiencing lukewarm water despite high settings. This forces your system to work overtime, consuming more energy to maintain desired temperatures.

3

Long Wait Times for Hot Water

It takes forever for hot water to reach your faucets and showers. This waste of water and time often indicates poor insulation or an inefficient distribution system.

4

Running Out of Hot Water Quickly

Your hot water supply depletes faster than it should during normal use. This suggests your water heater is undersized, aging, or operating inefficiently.

5

Aging Water Heater (8+ Years Old)

Your water heater is approaching or exceeding its expected lifespan. Older units lose efficiency over time, requiring more energy to heat the same amount of water.

As the cost of electricity keeps rising in Australia, more households are embracing off-peak hot water systems as a choice to save money and reduce energy costs. The system takes advantage of lower electricity rates during off-peak periods, providing a smart and economical choice for budget-conscious Australians. 

Here, we’ll cover the fundamentals of how off-peak hot water operates to the cost-saving potential of switching, its comparison to solar hot water, and rebates to help make the transition.

What Is Off-Peak Hot Water and How Does It Work?

Off-peak hot water systems are installed to heat water when there is low electricity usage—generally in the morning or early evening. They are known as off-peak hours when energy providers provide lower electricity tariffs.

It works by connecting your hot water heater to an off-peak dedicated electricity tariff (e.g., Tariff 31 or 33 in Australia). Your hot water tank is reheated during off-peak hours when energy is cheaper, storing the tank with a hot water supply enough to run your household throughout the day.

Common Australian off-peak periods:

  • Tariff 31 (Super Off-Peak): Usually available for 7–8 hours overnight (e.g., 10 pm to 6 am).
  • Tariff 33 (Off-Peak): Offers more convenient heat times, available for up to 18 hours a day but not every day.

These tariffs are set by energy retailers and vary between states and suppliers.

Off-Peak Water Heating & Potential Savings

One of the biggest draws of off-peak hot water is the ability to reduce your energy bills significantly. Water heating is one of the biggest users of electricity in Australian homes—around 25% of overall energy consumption.

Here’s how off-peak systems make you money:

  • Lower electricity rates: Off-peak rates are between 50% and less than average peak rates.
  • Users’ effective heating schedule: Water is heated when electricity is in less demand, reducing grid load.
  • Cost-effective storage: Newly installed tanks are heavily insulated and maintain hot water for many hours without repeated reheating.

For example, installing an off-peak system for a standard electric hot water heater can save a typical household $200 to $500 annually on electricity.

How Off-Peak Hot Water Can Slash Your Energy Bills

Let’s deconstruct how these savings work in practice. If you have four people in your household using around 200 litres per day of hot water, charged at peak rates on a continuous tariff, you might be paying 28–32 cents/kWh, while an off-peak tariff could be 12–16 cents/kWh.

The savings over 12 months add up:

  • Continuous tariff = about $800–$1,000/year
  • Off-peak tariff = about $500–$700/year

Also, by coordinating your hot water system with off-peak use, you’re not just saving your bucks—you’re supporting demand reduction on the grid and making energy more sustainable.

Peak vs. Off-Peak Rates Explained

Peak rates are the normal rates that are paid during peak hours, typically 3 pm to 9 pm, when houses draw more power for cooking, heating, and lighting. They pay extra because the demand is highest.

Contrarily:

Off-peak rates are applied during off-hours (such as late night to early morning).

Shoulder rates are in between peak and off-hours and sometimes give half savings too.

By shifting your hot water heating to off-peak hours, you’re benefiting from reduced rates that energy providers offer in a bid to shift demand across the network.

Adjusting Your Hot Water System to Off-Peak Hours

To be able to benefit from hot water off-peak, you need to properly set up your system. The following is a step-by-step process on how to adjust:

1. Check your electricity contract: Phone your energy provider and ask if off-peak tariffs are available where you are.

2. Fit a compatible hot water system: The majority of electric storage water heaters can be fitted with off-peak tariffs. Solar and heat pump systems might need to be specially set.

3. Use a timer or smart controller: These can assist with controlling when your water heater is turned on and off.

4. Hire a licensed electrician: Only a qualified electrician should modify the system’s wiring to convert it to off-peak supply.

Note: Off-peak hot water won’t function if your house uses a high rate of hot water during the day, unless you have a large tank or dual-element system.

Off-Peak Hot Water vs. Solar Hot Water: Which Is Better?

Both systems offer energy savings, but the best option depends on your household needs and location.

FeatureOff-Peak Hot WaterSolar Hot Water
Initial CostLower (especially with rebates)Higher upfront cost
Running CostsLow with off-peak ratesVery low, powered by the sun
Ideal ForHomes with lower daytime hot water usageHomes with ample roof space and sun exposure
Environment ImpactModerateLow
Weather DependencyNot affectedCan be impacted on cloudy days
Backup Required?NoOften includes an electric or gas booster.

• If you are fortunate enough to be in a sunny location, planning to have the space for solar panels already available, and willing to pay the higher upfront cost, then solar hot water can realise the lowest operating cost.

• If you reside in a cold region or want to economise money, off-peak hot water is a good solution to save a lot with little upfront cost.

Rebates & Incentives for Off-Peak Hot Water in Australia

Several rebates and incentives exist in Australia to encourage energy-efficient water heating systems, like off-peak hot water.

National & State-Based Incentives:

  • Small-scale Technology Certificates (STCs): For eligible systems under the Renewable Energy Target.
  • NSW Energy Saving Scheme (ESS): Rebates when old electric water heaters are replaced with efficient systems.
  • Victoria’s VEU program: Offers incentives for approved water heating upgrades.
  • South Australia’s REPS scheme: Incentives for the installation of energy-efficient hot water systems.

In some cases, energy retailers also offer discounts or upgrades free of charge for switching to off-peak systems.

Tip: Ring your state government’s energy page or your installer to find out what you’re entitled to.

Conclusion

Off-peak hot water systems offer an affordable, reliable, and environmentally friendly way to manage your home’s energy consumption.

Heating water using off-peak electricity hours enables you to save money without compromising comfort. Replacing a current system or searching for another option besides solar, off-peak hot water is a cost-effective and environmentally friendly solution for Australian residences.

hot water tank

Reasons You May Need to Override Off-Peak Hot Water

Several reasons may require you to override your off-peak hot water system.

One common situation that many people encounter is when unexpected guests show up, and you need to accommodate a higher demand for hot water than usual. It could be relatives staying over or friends dropping by.

You certainly don’t want them to experience the discomfort of cold showers.

Another reason for overriding the peak hot water system is if you have a morning or late-night event that requires you to take a hot shower outside the regular off-peak period.

Also read: Free Hot Water Upgrade for Small Businesses

This is very useful if you want to start your day feeling refreshed after a warm shower, or perhaps you’re attending a late-night function and would like to wash away the stress of the day before going to bed.

Moreover, if you heavily rely on water for household tasks such as washing dishes or doing laundry, there may be times when it becomes necessary to override the off-peak setting to ensure a high supply of hot water throughout the day.

How to Override Off-Peak Hot Water

Fortunately, it’s not as complex as it sounds. Here’s a simple step-by-step guide that will assist you throughout the process.

Locate your hot water system’s control panel or timer. This is where you’ll find the settings and controls that determine the operation of your hot water system.

Familiarise yourself with the different settings. Take note of the “off-peak” mode and any other available modes. Understanding how these settings work will be crucial in overriding the off-peak mode.

Also read: Instant Hot Water Systems – 5 Reasons To Use Instant Hot Water Systems In 2023

Determine how your off-peak hot water system communicates with your electricity provider. This will help you decide on the best approach for overriding the system. Is there a separate meter, or does it rely on a wireless signal?

Once you’ve gained a clear understanding of your hot water system, it’s time to override the off-peak mode. Follow the instructions provided by the manufacturer to switch to the desired mode. This could either be a “boost” mode or a manual override option.

Enjoy your hot showers! Now that you’ve successfully overridden your off-peak hot water system, you can take hot showers when you want, regardless of the off-peak periods.

Also read: Hot Water Systems- Which is the Best Hot Water System in 2023?

Remember to always consult the user manual or contact a professional if you have any doubts or concerns. Now go ahead and enjoy your warm and comfortable showers!

Possible Risks and Solutions While Overriding

While overriding your off-peak hot water system can give you the flexibility to enjoy hot showers at any time you desire, it’s important to be aware of the possible risks and keep the following solutions in mind.

One potential risk is increased energy usage and higher electricity bills. By overriding the off-peak mode, your system will use more hot water during peak demand periods, leading to higher rates and increased costs.

To mitigate this risk, consider setting a timer or alarm to remind yourself to remove the override once you’re done with your hot shower.

Another risk is the potential for overloading your hot water system. If multiple people in your household are taking long, hot showers or using hot water for other tasks simultaneously, it can strain the system.

To prevent this, communicate with your household members and establish a system to avoid excessive hot water usage during overriding periods.

Consider taking shorter showers or staggering hot water usage to ensure everyone gets their turn without overwhelming the system.

Also read: Best Hot Water Installer in Sydney

Lastly, overriding your off-peak hot water system may void any warranties or guarantees that came with your system. It’s essential to check the terms and conditions provided by the manufacturer before overriding the off-peak mode.

If you’re unsure about the implications, reach out to the manufacturer or a professional to get clarity and guidance.

Enjoy a Warm Shower Today!

This blog post offers a simple and straightforward method to override your off-peak hot water system with confidence, allowing you to enjoy hot showers whenever needed without any significant setbacks.

e-green electrical logo image

E-Green Electrical

E-Green Electrical is a top tier energy efficiency company based in Sydney. We focus on utilising government rebates to help reduce our clients energy consumption by installing energy efficient solutions. E-Green boasts a rich heritage within the realm of energy efficiency, consistently staying up to date with cutting-edge technologies to deliver optimal results for our valued customers.

We don't just sell products and services; we also provides tips and information on how to help reduce energy consumption. We believe in using energy wisely and teaching others how to do the same. For E-Green, it’s important to share knowledge with the community. That's why we regularly write articles about saving energy, new government rebates available and increasing sustainability.

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