There are a lot of creative implementations of demand response and time of use rates, but the price curve is crazy (see slide 7 [1]). To achieve a 10% reduction in electricity usage in the evening, you have to give people a 80-90% discount on their electricity at other times. BUT, "smart" water heaters, thermostats, etc. improve these numbers dramatically.

Designing these programs/prices/policies is a huge industry, and I happen to know a good bit about it because we work on helping utilities design these programs at Kevala (shameless plug: we are hiring [2])

[1] http://files.brattle.com/files/7390_price-enabled_demand_res... [2] https://kevalaanalytics.com/positions/