Off Peak Hours: All Other Hours
Off-Peak Electricity Pricing: Savings When They Matter
Off-Peak and On-Peak electricity pricing gives a valuable opportunity to take control of energy use and electricity bills. Time based decisions are voluntary to Take Control & $ave while electricity is on sale 75% of each day. The program enables people to choose when they power up appliances based on electricity prices and make decisions that can both save money and reduce the use of natural gas/coal. United Electric currently has a two-part flat rate structure, meaning customers pay a set price per kilowatt throughout the day. This structure will continue through May 2023.
Similar to rush hour traffic, the power grid experiences times of extreme stress and high demand, prompting electric utilities to turn on expensive, fossil fuel “peaking” power plants to meet the Member’s energy needs. This makes the true price of electricity vary throughout the day. Without knowing the true price of electricity paid by your not-for-profit cooperative, Members do not have the basic information they need to conserve power (and, thus, lower bills) when it matters most.
In contrast to flat rates, time based rates give customers a view of how much electricity costs throughout the day, so people can plan ahead. High-traffic energy times occur predictably in the early morning 6 to 8 am and late afternoon 4 to 8 pm when everyone is running air conditioners, cooking, watching TV, and doing laundry. Well-designed On-Peak and Off-Peak rates empower people to lower their monthly electricity bills by simply using larger appliances, like a clothes dryer or water heater at lower-priced (off-peak) times.
At United Electric Cooperative we chose a time based rate because as a not-for-profit cooperative we wanted a cost based program that would provide for the future reliability of the cooperative while putting the power in your hands to save.