Xcel Energy launches new pricing plan to residential customers Customers can choose from two new rate plans to fit their needs
Xcel Energy will begin inviting customers to sign up for two new pricing plans today (3/6), both designed to provide an opportunity for more choice and control. The plans give customers the potential to save money by being more flexible about when and how they use energy. Participation in these new plans will help inform the future of electricity pricing in Colorado.
The company is testing two new pricing plans: Time of Use Pricing and Peak Demand Pricing. The two plans will help customers learn more about their energy use, and how shifting and staggering that usage can be beneficial. Xcel Energy aims to enroll roughly 44,000 participants in these plans by next summer.
Here is how each pricing plan works:
Time of Use Pricing - customers can save money by using less electricity during weekdays from 2 p.m. - 6 p.m., called "peak hours." Electricity is priced at the most expensive rates during this period, while a discounted rate will apply to weekends or holidays. Customers pay based on when and how much energy they use, and will see a savings if they can shift usage to lower priced periods.
Peak Demand Pricing - customers can save money not only by shifting when they use electricity but also by avoiding the use of major appliances, such as washing machines or dishwashers, at the same time during the peak hours of 2 p.m. - 6 p.m. Monday through Friday. Demand is the amount of power needed to supply every electrical device running in a home at a specific point in time.
The two plans are a result of the 2016 Phase II Rate Case and are intended to provide insight into the impact of these new rate structures on residential customers' bills, changes in their energy behaviors, as well as driving customer education, awareness and engagement with overall household energy consumption. The pricing plan will be available for at least three years (2017-2019) and participation is voluntary.
More information and details on each plan can be found at www.xcelenergy.com/residentialrates.
For more information:
Xcel Energy, Inc.
414 Nicollet Mall
United States, 55401