August 28, 2021

Time of Use, Time of Day, The Utilities are here to Play!

Coloradans be aware of Time of Use (TOU), soon to be implemented by Xcel Energy.What is the time of use?
Time of use is a rate plan in which rates vary according to the time of day, season, and day type (weekday or weekend/holiday), The price would change depending on the time of day and time of year. You may see TOU as a rate code for "time of use" pricing. You may see it as TOD or "time of day." During the window of higher demand, "peak hours" for electricity, higher rates are billed. There are likewise lower rates during the off-peak demand hours. When does it start?
Some utilities in Colorado, like Fort Collins Utility, have already implemented this new rate plan. For the most significant electric company in Colorado, Xcel Energy, the change starts on January 1, 2021. How big of an increase will it be?
Again, for Xcel Energy, they will be charging customers more during peak hours (2 pm-7 pm)
Peak Winter Pricing could go from $0.09 to $0.13 - 44% increase!
Peak Summer Pricing could go from $0.10 to $0.22.72 - an 80% increase! What time is the best to use electricity with TOU?
Electricity is often cheaper late at night or early in the morning, usually, 10 pm-7 am, so those will be the times when you can save on electric bills. "Off-peak" or shoulder hours happen when most people are using less electricity. But here is the question? How many people can follow the unusual off-peak hours to do the laundry? Or How many will start dinner at a later time? This after a hectic day at the office or after a hard day at work.

And now, your neighbor with all those solar panels starts entering your thinking. Are they crazy, or do they know something?

Solution: Solar Energy for your Home!

After we evaluate the behaviors of all the utility companies and their schemes to increase electricity rates in one way or another, we realize that TOU as just another way for them to keep us on our toes and guessing. We see the bill going up, we know we are paying more somehow, but we can't seem to follow the changes to the statement.

Stop. Solar Energy is an alternative to our need for electricity and takes back some control. We can elect to do this another way. Let the electric company change the game and charge more without being caught off guard and unprepared. Wouldn't it be nice to break free from the games? Would you like to pay 60% or 80% less for your electricity?
The fixed cost of solar for most homes is about 6 cents a kilowatt-hour (kWh)!
Have you noticed all the additional fees associated with a kilowatt-hour (kWh) on the electric bill? When you generate enough electricity from solar to offset what you usually would use from the utility, these charges go away.

We would highly recommend that the general public become more informed about the electric bill and programs that allow them to own their electrical generation with solar panels, a power plant on the roof. Why wait to save money?

Home storage of electricity? It's here. Turn your home into a microgrid? The technology is here. That time is now, and there is much more coming to be excited about, but solar panels on the home is just the start. Isn't it time to evaluate the plan your utility has you on, and look for an alternative?

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