Time-of-Use Pricing Delivers 6% Peak Load Reduction

PECO customers participating in a time-of-use (TOU) pricing pilot reduced consumption during peak hours last summer by an average of 6 percent, reports Energy Choice Matters. NRG Energy served as the retail supplier. PECO’s 2014 report to the Public Utility Commission (PUC) noted that the program objectives were to:

  • Gauge customer interest in TOU pricing from a competitive supplier.
  • Determine why customers chose to enroll (and not to enroll) in the program.
  • Evaluate energy consumption impacts.

Only 0.6 percent of small-to-medium business owners solicited to participate in the program chose to do so, compared with 4.0 percent of residential customers. Of those who chose to participate, the study showed that most chose to participate in order to save money, more than two-thirds were satisfied with the program, and less than 10 percent were dissatisfied. Of those who opted not to participate, they cited reasons such as higher participation costs and not wanting the hassle of changing suppliers. Utility Dive plans to report on the results of the pilot program soon.

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