Time-of-use electricity rates support clean, reliable grid

California has experienced the impacts of a warming climate firsthand. Our state has seen an increase in the frequency and intensity of wildfires that have devastated homes and communities, and another intense season is on the way. As a response, utilities are shutting off residents’ power for hours at a time — sometimes days. It’s clear that climate action was needed years ago, but there’s still an opportunity to change our course.

Cleaning up California’s electric grid is a crucial piece of this equation, and individuals play a large role. By making small adjustments to when electricity is used, we all can help accelerate the transition to a cleaner and more reliable grid.

In California, we generate a lot of solar energy during the day, and wind production is more plentiful at night. However, in the early evening, production of solar energy wanes, right when many people return home and start energy-intensive activities like running their dishwasher or doing laundry.

Northern California is taking a big step this year with the transition to time-of-use electricity rates. This rate structure incentivizes the use of clean, renewable energy during the day and overnight with cheaper electricity rates. On this timeof-use rate, energy is cheapest for 19 hours a day, before 4 p.m. and after 9 p.m. Most of us can automatically take advantage of cleaner and cheaper electricity without changing habits, but further shifting your use to outside those hours could save you more money.

This is an automatic transition happening statewide for customers not already on a time-of-use electric rate; most residential customers in Santa Clara County are transitioning in June. Even better, you can try this time-of-use rate riskfree for the first year. If you don’t save money compared to your previous plan, you’ll be credited the difference. You also have the option to decline the transition or select a different rate plan through PG&E at any time.

Time-of-use rates can give you more control over your electricity bill. Making small adjustments such as doing your laundry or pre-cooling your home before 4 p.m. on a hot day can result in energy savings. Utilizing appliances with timers also provides the ability to take advantage of cheaper rates even when you’re not home. Think about it — you can use the same amount of energy as you always have, but by shifting some usage to different times, you will be using cleaner energy, saving money, and helping California achieve a more reliable electricity grid.

The time-of-use rate plan has an immediate climate impact — shifting energy use to the time of day when renewables are in abundance gets California closer to reaching 100% clean energy. By utilizing the clean energy that is already in excess during the day, Californians are making use of available clean energy while reducing the need for fossil-fuel back-up energy sources which in turn, leads to cleaner air for us all.

Time-of-use rates have the potential to dramatically impact how we use power from the California grid. Combined with new clean energy investments, energy storage innovation, and demand management, all of these solutions will get us closer to a more reliable, healthier and affordable clean energy future.