Time-of-Day Rates on Long Island
Stay up to date on the latest Time-of-Day Rates from PSEG-LI*
pseg-li time-of-day rates
What We Know About Time-Of-Day Rates
PSEG Long Island is offering ratepayers the chance to manage their electricity costs with the new Time-of-Day (TOD) Rate Plan. This information is sourced from the utility, and may be subject to change – so be sure to check in often for the latest updates!
The Time-Of-Day plan adapts energy pricing based on daily demand patterns, offering higher rates on weekdays from 3 p.m. to 7 p.m. – recognized as peak hours – when energy demand typically peaks. The remaining hours, including evenings, weekends, and federal holidays, feature off-peak rates, providing you with a cost-efficient timeframe for your electricity usage needs.
Purpose Behind PSEG-LI's Rate Changes
Why Is PSEG-LI Implementing Time-of-Day Rates?
Peak pricing occurs due to the necessity of the utility to acquire extra energy generation resources for fulfilling electrical grid requirements. The introduction of Time-of-Day rates offers a solution to mitigate electrical grid strain during such periods.
time-of-day rates Are Coming
The Timeline for PSEG-LI’s Time-Of-Day Roll Out
Voluntary Enrollment
All residential PSEG-LI customers will now have the option to voluntarily enroll in the new Time-of-Day rates.
Time-of-Day Standardization
Newly metered customers will be enrolled in off-peak rate 194, while the standard flat rate 180 remains available.
Initial
Enrollment
Over 30,000 PSEG-LI customers will be shifted to off-peak rates, including a mix of low income, EV, and solar customers.
Ongoing
Enrollment
Approximately 90,000 residential customers will be transitioned to the PSEG-LI's new Time-of-Day rates.
Optimize Your Energy Consumption For Time-Of-Day Rates!
PSEG Long Island is encouraging ratepayers to shift their energy habits to align with the new Time-of-Day rates. By making a few simple adjustments, you can contribute to a more sustainable energy future. Actions that you can take include:
- Run your appliances more in the morning and night
- Pre-cool your home before peak hours in the warmer weather
- Charge your electric vehicle overnight during off-peak hours
- Invest in solar battery storage solutions like batteries to store excess and discharge stored energy during higher-rate periods
- Employ smart home devices that can be programmed to operate during Off-Peak hours
PSEG-LI Rate Code 194
Off-Peak Rates
The standard Off-Peak Rate allows for the utilization of cost-effective Off-Peak hours, positioned around the weekday Peak pricing period, and designates weekends and federal holidays as Off-Peak throughout the entire day. This rate structure aims to encourage energy-conscious choices, fostering a more sustainable and responsible approach to power consumption among customers, while eligible customers will shift to the Time-of-Day rate plan.
PSEG-LI Rate Code 195
Super Off-Peak Rates
How does Time-of-Day impact solar customers?
While this is still net metering, you will still get credits for your excess electricity. But, with the introduction of Time-of-Day rates, the credits are only valid for the time period in which you generated them. This means that if you generate credits in OFF-PEAK hours, you can only use those credits in the OFF-PEAK hours.
You may exchange your credits between OFF-PEAK and Peak at a 2:1 ratio. This means that for every 2 off-peak credits, you will be able to exchange them for 1 peak credit. Learn more about going solar here!
How does Time-of-Day impact solar and storage customers?
Battery storage is crucial in the combatting Time-of-Day electric rates due to its ability to create greater control over your energy usage and costs. By integrating battery storage systems into your solar panel system, you will be able to generate and store excess energy during OFF-PEAK hours and deploy it during PEAK hours, effectively bypassing the need to draw from the grid when electricity prices are at their highest.
Ultimately, solar and battery storage technology is pivotal in revolutionizing the way we consume and manage electricity, aligning perfectly with the goals of Time-of-Day rates by promoting efficiency, cost savings, and grid sustainability. Learn more about battery storage here!
Ensuring Savings for Eligible Customers
PSEG-LI's Guaranteed Bill Protection*
PSEG-LI offers 12-month bill protection for eligible customers transitioning from Rate Code 180 to Rate Code 194 or 195 during the last scheduled migration, or for new residential accounts opting for Rate Code 194 or 195. After 12 months, bills are recalculated based on Rate Code 180 rates, with savings credited on the next bill. Terminating service or transferring before 12 months adjusts the guarantee accordingly.
Rate changes for customers transferring to other eligible Rate Codes are effective from their last bill date.
Questions and Answers
Time-of-Day FAQs
In contrast to conventional flat rates such as Rate 180, a Time-of-Day rate entails varying prices depending on the time of day. Weekdays have specific peak hours, while all other times, including weekends and federal holidays, are considered off-peak. The cost of electricity during peak hours is higher due to increased generation expenses at that time. Conversely, during off-peak hours, the cost is either similar to or lower than the flat rate, as electricity generation costs are reduced, and we pass on the resulting savings to PSEG-LI customers. Under the standard Time-of-Day rate, peak hours are limited to weekdays from 3 p.m. to 7 p.m., while all other hours, including Saturdays, Sundays, and federal holidays, are designated as off-peak.
Initially, it represents a contemporary pricing model that unlocks fresh avenues for savings among PSEG-LI customers. By choosing to do tasks like laundry in the morning or at night, the associated costs decrease. Maximizing the shift of energy consumption to Off-Peak hours results in greater potential savings. Reduced energy usage during Peak hours not only lowers electricity costs but also promotes cleaner energy use and enhances the overall efficiency of the energy grid. The advantages extend to all!
The Time-of-Day Off-Peak Rate (Rate 194) isn't a requirement – PSEG-LI customers are free to choose alternatives like the Flat Rate (Rate 180) or Super Off-Peak Rate (Rate 195) whenever they prefer. Notably, PSEG-LI customers relying on electricity as their main heating source will still qualify for a specialized heating rate.
The Time-of-Day Off-Peak Rate is set to become the main offering for residential customers. Starting in 2024, we will commence the transition of most existing and new accounts (with limited exceptions) to the standard Off-Peak Rate, with the objective of completing the migration for all eligible accounts by December 2025.
Yes! You have the option to opt out either by following the link provided in the email notification regarding the migration to Time-of-Day or by contacting PSEG-LI's customer service team at 800-490-0025.
*All Time-of-Day information is derived from PSEG Long Island and was up to date as of April 2024. SUNation Energy is not responsible for any inaccuracies or changes to this information beyond that date.
**At the end of the first 12 billing months following a customer’s transition to Rate Code 194 or 195, PSEG Long Island will calculate what the customer’s bills would have been under Rate Code 180 for the same energy usage and, if lower, credit the difference on the next monthly bill. Customers that terminate their service or transfer to a Rate Code other than 194 or 195 before the first 12 months of billing have occurred will have their bill protection guarantee calculated up to that date of termination or transfer and receive the applicable credit in their next bill. Customers that transfer to another eligible Rate Code will see the rate change effective as of the date of their last issued bill. Customers on Rates 181, 182, 184, 188, and 480/481; customers on Rate 580 (space heating); and customers on any of the legacy Time-of-Use rates (i.e., 190, 191, 192, 193) are not eligible for Guaranteed Bill Protection. Actual savings are based on daily energy use patterns.
