What is the Difference between Energy Management and Cost (tariff) Minimisation?

Energy Management is the actual management of real energy use. Energy has to be generated, distributed, stored if possible, stabilised to remove as many peaks and troughs in demand as possible, and ultimately used as efficiently as possible. Of course, this leads to reduced costs, but the focus is on reducing the energy demand first with cost reduction as a by-product.

Pooled Energy does real energy reduction and management and thereby reduces costs.   It also reduces chemical and technical support cots, improves quality and helps reduce overall electricity cost throughout the Grid.

Cost or Tariff Minimisation is a little different.   It is not trying to reduce energy as such but only seeking to reduce cost.  it is a financial activity that superficially may look like energy minimisation, but isn’t necessarily. Shifting energy consumption from a nominal on-peak to off-peak time can help reduce cost but does not necessarily help reduce energy.  For example, if you charge a home-storage battery during an off-peak period, you will need to put into the battery something like 120% of the energy you eventually get out.  You are actually increasing energy use while reducing costs.

Peak tariff periods in Sydney are general 2pm – 8 pm weekdays, however, this is an average and the real peaks in demand often happen during off-peak times such as on hot February nights.   Pooled Energy shifts energy use in time, but without using more energy as would a battery.  It also responds, for everyone’s benefit, to the real peaks in the grid energy consumption.


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