An app that can save EV drivers $400 a year comes to Toronto and Hamilton

Charging electric vehicles in off-peak hours could ease grid pressure and lower charging costs for drivers.  A new pilot program in the Greater Toronto and Hamilton Area (GTHA) is testing a mobile app that does just that.

The program, led by San Francisco-based Optiwatt and funded by The Atmospheric Fund (TAF), began in December 2023 and runs till the end of the year.  EV models by major manufacturers, such as Ford, BMW, General Motors, Toyota, Kia, Tesla, Volkswagen and Hyundai, are among those supported by the initiative. Participation is free for EV drivers in the GTHA.

Casey Donahue, founder and CEO of Optiwatt, told Canada’s National Observer that participants can save up to $400 yearly — up to 70 per cent of charging costs. The system of managed charging helps prevent potential electricity price increases by shifting demand to periods when energy is more readily available.

The first step is to link the app to a user’s car, Donahue said. 

“We can then tell the EV when to start or stop charging. Users just need to provide their rate plan, or they can upload a bill, and our platform will analyze the data. We determine when electricity is cheapest for them and schedule the car to charge at the lowest-cost times.”

As more regions aim for net-zero emissions, EV adoption is expected to grow. According to Statistics Canada, zero-emission vehicles represented 11 per cent of all new motor vehicle registrations in 2023, a 49 per cent increase from 2022. However, Toronto Hydro reports that charging a single EV consumes as much energy as two average households, prompting experts to warn that an increase in EVs could lead to a surge in electricity demand, and potentially overwhelm the grid.

Higher-demand times are also when the costs are higher, so charging off-peak is a win-win for the utility and the user. If a user's electricity plan offers cheaper rates after 7 p.m., the app ensures their EV only charges after that time. Similarly, if the plan has lower rates during the day, the app will schedule charging accordingly. The app is designed so that even if the driver plugs in the vehicle right away, charging won't begin until the app identifies the optimal, cost-effective time.

Donahue said that Optiwatt’s mission extends beyond individual savings; it also supports the broader goal of reducing emissions. By saving on electricity costs, the program will encourage more people to switch to electric vehicles, thereby accelerating the transition to green energy.

The program aims to enroll 2,000 participants, with over 1,000 already signed up. Similar initiatives are currently being tested across Canada and the U.S. Optiwatt boasts over 100,000 users and partners with 30 utilities. Once the program reaches its target of 2,000 participants, there are plans to expand to all EV users. 

According to Donahue, the platform not only provides real savings for EV owners, but also helps utility companies encourage drivers to use clean energy at lower rates.

Advocates say programs like this are crucial for shaping consumer habits. “Charging overnight has always been the best option to lower costs and emissions, but monetizing and gamifying this helps gently pull people toward doing this as a habit,” said Devin Arthur, director of government relations at the Electric Vehicle Society “Once drivers see the savings they can gain, they will be more likely to do it on a regular basis.”

Canada’s transportation sector released nearly 180 million metric tonnes of carbon dioxide into the atmosphere in 2022, accounting for about a quarter of the country’s total emissions. The country has set a target of achieving 100 per cent zero-emission vehicle sales by 2035.