Tariffs

Controlled load: cheaper power for hot water

A controlled load is a separately metered circuit — usually for your electric hot water system — that your distributor can switch on only during off-peak hours. In exchange, you get a much cheaper rate.

How it works

A controlled load is physically separate from your main electricity supply. Your distributor installs a second meter (or a second register on your smart meter) and controls when that circuit is powered on — typically overnight, during the cheapest hours.

Your main meter

Powers everything else in your house — lights, appliances, AC. Charged at your normal tariff rate (flat or time-of-use).

Controlled load meter

Powers only the hot water system (or other eligible appliance). Only runs during off-peak hours. Charged at a significantly lower rate — often 15–20c/kWh vs 28–35c/kWh on the main meter.

CL1 vs CL2

You may see “CL1” and “CL2” on your bill. These refer to different controlled load windows:

TypeTypical hoursTypical rate
CL1 (overnight only)~10pm – 7am (8 hours)~15–18c/kWh
CL2 (extended hours)~10pm – 7am + midday boost (~18 hours)~18–22c/kWh

CL1 is cheaper per kWh but has fewer hours — your hot water might not fully reheat in time for heavy-use households. CL2 costs a little more but gives a midday boost, which is better if your household uses a lot of hot water.

What can go on a controlled load?

The most common appliance is an electric storage hot water system — the kind with a big tank and a heating element. Other eligible loads sometimes include:

  • Slab heating / underfloor heating
  • Pool pumps (in some distributor areas)
  • Electric storage heaters

Not for heat pumps

Heat pump hot water systems typically need to run during the day (they extract heat from ambient air and work best when it’s warmer). Running a heat pump only overnight when it’s cold reduces its efficiency. Check with your installer — some setups use a timer on the main meter instead of controlled load.

Do I have a controlled load?

Check your bill for line items labelled “Controlled load”, “CL1”, “CL2”, or “Off-peak hot water”. If you see one, you already have a controlled load circuit. If not, and you have electric storage hot water, ask your distributor whether one can be installed — it’s usually worth the lower rate.

The savings

A typical electric hot water system uses 10–15 kWh per day. On a controlled load at 17c/kWh instead of the main meter at 30c/kWh, that’s a saving of roughly $1.30–$1.95 per day — up to $700 per year just for having the circuit wired up.