It seems like every utility these days is jumping on the time-of-use bandwagon. If you’re in California, all the big privately-owned utilities offer time-of-use rates (often referred to as TOU rates) including PG&E, SDG&E, and SCE.
In fact, in 2016, California passed regulations that all future net-metered solar customers must move to time-of-use rates. If you live in another state, there are simply too many utilities to list that offer these rates.
With prices changing based on the time of day as well as the season, time-of-use rates can sometimes get confusing. And with these fluctuating changes, how do you know how much you’re spending, or saving, on electricity? Beyond that, what is ‘peak time’ or ‘peak season?’ Why do prices even change? Why can’t we just pay one set amount for electricity?
If you’ve got solar installed, it’s even more complicated. What if your solar installation puts energy into the grid at peak period when electricity is expensive, but you pull from the grid during lower-priced times, are you compensated correctly? How is your excess generation calculated?
Today, we’re going to answer all these questions by showing you how TOU rates affect solar savings and what you can do to increase your savings as much as possible!Continue reading
In the past, net metering customers could choose between PG&E tiers or time-of-use (TOU) rates. However, in January 2016 the California Public Utilities Commission (CPUC) – the organization responsible for regulation over the state’s investor-owned utilities: PG&E, San Diego Gas & Electric, and Southern California Edison – passed a decision, known as the Net Energy Metering Successor Tariff, that will tweak net metering (also known as net energy metering, or NEM) agreements going forward.Continue reading