Flat rate: one price, all day
If you've ever wished electricity pricing was as simple as buying petrol — same price per litre regardless of the time of day — the flat rate tariff is for you.
How it works
A flat rate tariff charges the same price for every kilowatt-hour you use, regardless of when you use it. Run your dryer at 2pm or 2am — same rate. Cook dinner at 6pm on a weekday or Sunday morning — same rate.
Price across 24 hours
Same rate every hour, every day of the week
Your bill is straightforward: total kWh used multiplied by a single rate, plus the daily supply charge.
Worked example
Here is what a typical day might look like on a flat rate tariff for a household using around 15 kWh per day:
No time-of-day calculations, no peak windows to worry about. The maths is the same whether it’s a Tuesday evening or a Sunday morning.
Pros and cons
Advantages
- +Simple and predictable — easy to budget
- +No penalty for using electricity during the evening peak
- +No need to change your routine or schedule appliances
- +Easy to compare plans — just compare the single c/kWh rate and supply charge
Disadvantages
- -No reward for shifting loads to off-peak hours
- -The flat rate is often slightly higher than a TOU off-peak rate to compensate
- -Solar owners miss out on TOU benefits (cheap daytime self-consumption vs expensive peak exports)
- -Less incentive to become energy-aware or invest in smart automation
Who it suits best
Flat rate tariffs work well for:
- Households that can’t easily shift usage — if everyone’s home between 5pm and 9pm and that’s when the cooking, heating, and screens are running, a flat rate means you aren’t penalised for it.
- Renters — if you can’t install solar, a battery, or control your hot water timing, simplicity wins.
- People who value simplicity — if tracking peak hours and scheduling appliances feels like a chore, flat rate removes that mental load.
- Shift workers with irregular schedules — when your peak usage doesn’t fit predictable patterns, a flat rate avoids accidentally paying more.
Why it matters
Flat rate is the baseline. Even if you end up choosing a different tariff, understanding flat rate helps you see what you’re trading away and what you’re gaining. On a time-of-use plan, you get cheaper off-peak rates but pay more during peak — whether that saves you money depends on when you use power. The flat rate is the “no surprises” option.
Next step
If you think you could shift some usage to off-peak hours, see how much you might save on a Time-of-Use tariff. Or head to Which Tariff? to walk through the decision for your household.