Time-of-Use (TOU) tariff in Bangladesh
Industrial and large commercial consumers in Bangladesh can opt into TOU rates. We explain when it actually pays off — and when it doesn't.
Peak, off-peak, super off-peak — and whether TOU saves you money
Industrial and large commercial consumers can opt into TOU rates. Here's how to decide if it pays off — and how it doesn't.
The short answer
- TOU is for industrial and large commercial — residential cannot opt in
- Two- or three-shift industrial operations almost always win on TOU
- Single-shift day operations and peak-hour commercial users usually lose on TOU
The windows
Three time bands
- Peak — 5:00 PM to 11:00 PM. Highest grid demand. ~30–40% higher than the flat-rate equivalent.
- Off-peak — 11:00 PM to 5:00 AM. Cheapest. ~30–40% lower than flat.
- Super off-peak. Applies in specific hours for select industrial categories with discounted rates beyond standard off-peak.
Eligibility
Who can opt into TOU
- LT-C (small industry) — opt-in
- MT-1 (medium industry) — TOU is the default; flat rate must be specifically requested
- MT-2 (medium commercial) — opt-in
- HT-1, EHT-1 (large industry) — TOU default
When it pays
Where TOU saves money
Industries running two- or three-shift operations almost always win on TOU: a midnight-to-8-AM shift gets cheap off-peak rates for most of its consumption. A garment factory running 8 AM–8 PM single shift is on the wrong side of TOU — most of its consumption is at peak rates.
For commercial consumers (MT-2 offices, hotels, malls), the calculation is murkier. Restaurants and shops doing the bulk of business at peak hours (5–11 PM) lose money on TOU.
How to estimate
Before opting in
Pull half-hourly data
Bucket by window
Apply TOU rates
Compare to flat
Operationally
What changes when you opt in
- Bills break consumption into peak / off-peak / super-off-peak columns.
- The meter needs to support time-of-use registers (most industrial-class meters already do).
- You can shift discretionary loads — water pumps, ETP cycles, charging banks — to off-peak windows.
Frequently asked questions
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