Residents in two areas of Hayle could earn up to £5,000 for their community by reducing their collective electricity use.
Tremorva and Trelissick are two areas out of ten that are being tested nationwide in the Less is More scheme which will run between January and December 2014.
The scheme, led by Western Power Distribution in partnership with the Centre for Sustainable Energy, will reward areas that use less energy particularly during peak times.
Community Energy Plus (CEP), a local energy advice charity, are backing the project.
A spokesperson for CEP said: “The long term aim is to create savings for everyone. The local electricity network operator, Western Power Distribution, has to upgrade local substations to cope with rising demand for electricity. But this is often only a problem at peak times.
"If people shifted their electricity use away from busiest times of day, less money would have to be spent on upgrading substations. And, better yet, if people learn to cut down the amount of electricity they use overall, they’ll make long term savings on their energy bills.”
Less is More is being launched at The Mezzanine at Paradise Park on Monday at 4pm, where residents are being invited to find out about help that is available to enable them save energy and reduce their bills.
There will also be an opportunity to discuss how the prize money should be spent in the local community.
Throughout the year, residents in the town connected to two different electricity substations will be able to see how much energy they are using by visiting www.lessismore.org.uk and compare it with targets.