Time-of-Use
Time-of-Use (TOU)
Time-of-Use (TOU) is a retail electricity pricing structure where rates vary by time of day to reflect grid supply and demand. Off-peak hours (typically overnight) have low rates, while on-peak hours (typically 4-9 PM) have high rates. TOU arbitrage is a common battery use case: charge during off-peak hours (cheap electricity), discharge during on-peak hours (expensive electricity), and capture the rate spread. TOU arbitrage is foundational to battery economics but only generates $300-$600/year for residential systems. Value stacking (combining TOU with demand response, resource adequacy, and wholesale market participation) increases revenue to $1,600-$2,400/year.
How Molecule Systems Relates
TOU arbitrage is the foundational revenue stream in DividendVPP's value stack - but Molecule's platform goes far beyond simple TOU. By layering demand response, resource adequacy, wholesale market participation, and clean peak optimization on top of TOU, DividendVPP delivers up to 2-4x more revenue than TOU-only approaches, turning $300-$600/year into $1,600-$2,400/year per site. Results depend on program mix, asset configuration, and deployment depth.
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Deployed alongside EG4 Electronics · Lightsmith Energy · Enersponse · RCT Power