Buckwheat Valley Citizens Coalition (BVCC) decided to find out if going on the Alliant Energy (local electric utility provider in our area) "Time Of Day" electric rate program was a good idea? The following is what we discovered during our investigation:
ALLIANT ENERGY WEBSITE:
How does the Time of Day program work?
All the electricity you use during off-peak hours - between late evening and overnight hours and all weekend - is billed at a significant discount.
Why? Off-peak hours are when the demands for electricity are lowest. By using less electricity during the day, you're helping us keep the power flowing to all our customers - and you're helping the environment!
Is this a free lunch?
Although you earn a discount for the off-peak electricity you use, you'll also pay a premium for the electricity you use during on-peak periods. However, the vast majority of customers on the Time of Day program save money - and the savings can be considerable.
Is there a cost to participate?
Depending on the type of electric meter at your residence, a special Time of Day meter may need to be installed. There is no additional cost for the meter, but you will be billed a minimal fee for it each month. However, the amount you save can easily make up the difference - and more. Your electric bill will show both your on-peak and off-peak usage and cost.
What if I don't save money?
If you don't use as much electricity off-peak as you thought, and can't adapt your use to fit the program, we'll remove you from the Time of Day rate. We do ask that you remain on the program for a minimum of one year to really see the benefit. Wisconsin customers may be charged a fee to be removed from the Time of Day rate.
If a special meter was installed, we’ll remove it and replace it with a standard meter. The extra monthly charge will be discontinued when the meter is changed.
How can I make Time of Day Pricing work for me?
Make sure you use as much electric energy as possible during the low-cost, off-peak period during evenings and weekends:
- Turn off your air conditioner during the day, or turn thermostat up five to ten degrees.
- If you have an electric water heater, install a timer to heat water only at night.
- Wait to run your dishwasher until evening.
- Instead of using your electric oven, cook with smaller appliances like your microwave or toaster oven.
- Keep track of how and when you use your electric appliances to determine what tasks you can delay until off-peak hours.
After studying the website, we called Alliant Energy to find out more, and this is what we were told by their Customer Representative:
(1) You must sign up for a "12 month billing cycle (1-year) Contract" and a monthly "time clock meter fee".
(2) This program is "not suited for everyone."
(3) To qualify you should be using in excess of "70% of your electricity on off peak hours" (8PM to 8AM).
(4) Only rate payers "exceeding 700+ KWH per month (Kilo-watt-hours) should apply."
(5) There are "three off peak times slots" to select for your Contract: 8PM to 8AM, 9PM to 9AM, 10PM to10AM.
(6) All electricity used must be "used on the Contract meter."
(7) If, for any reason, you break your one year Contract you must pay a "penalty of $106.91" and your meter is removed.
(8) Some of the billing information "is not on the web site."
(8) Some of the billing information "is not on the web site."
(9) Its not recommended for "low energy consumption" users.
(10) Its not recommended for the "elderly" day people.
(10) Its not recommended for the "elderly" day people.
(11) Its not recommended for "families with children."
(12) Its not recommended for "daytime businesses."
BVCC Report Conclusions:
(1) If you try it and don't like it, you pay a "$106.91" penalty.
(2) If anything changes in your schedule your rates go from 5 cents/KWH to 20 cents/KWH (four times higher).
(3) The regular peak demand rate is 11 cents/KWH, or less.
(4) The "Time Of Use" vs. peak rate savings is 6 cents/KWH.
(5) There is an extra rate charge of 15 cents/KWH is you use any power on peak time.
(6) You loose all flexibility in your electric use schedule.
(7) You could end up paying over twice the regular peak time use rate if you needed to use any electric power on peak time.
(8) There is no incentive for low volume electric consumption.
(9) The majority of consumers are not eligible.
(10) No data is provided is to show the program is effective.
(8) There is no incentive for low volume electric consumption.
(9) The majority of consumers are not eligible.
(10) No data is provided is to show the program is effective.
Given the above, BVCC is not interested. In order to join this "Time Of Use" program BVCC would have to give up much more than the program offers. This is not a conservation alternative for most consumers. In fact, it offers nothing to the general public, unless you work the night shift, and it penalizes you if you try the program and it doesn't work for you. There is no incentive in this program for non-participants to use off peak energy and conservation is not even mentioned. What this program is sadly missing is the option to use more off peak energy, while remaining on the standard peak time rate use formula. This program is not a broad based cost/benefit effective model.
Finally, when BVCC asked Alliant Energy: "How many out of the 1.4 Million Alliant Energy customers were on their 'Time Of Use' program," we were told to contact Alliant Energy's Marketing Department, because that information was "not available."
End of Investigation Report.
Contact us at: buckwheatvalley@mwt.net
