Utility Board explores time of use rates to optimize electricity costs in upcoming year

On January 8, 2025, the Light Board of the Town of Concord convened to discuss the implementation of a time-of-use (TOU) rate structure for electricity, a significant step towards modernizing the town's energy pricing and promoting energy efficiency among residents. This meeting highlighted the complexities and challenges associated with educating the public about TOU rates, which vary based on the time of day and season, making it crucial for residents to understand when electricity costs more.

The board emphasized the importance of outreach and education to ensure that homeowners can effectively manage their electricity usage. Currently, while 50% of public utilities offer TOU rates, only about 4% of customers nationwide participate in such programs. The board acknowledged that the introduction of advanced metering technology has made it possible to implement these rates, which were identified as a priority in previous strategic plans dating back to 2017.

A key focus of the discussion was the need for a fair and unsubsidized rate structure that rewards customers who shift their usage to off-peak times. This approach aligns with the town's broader climate action goals, which aim to reduce greenhouse gas emissions significantly by 2050. The board noted that TOU rates could help lower overall electricity costs for residents as more customers adjust their usage patterns.

Several unresolved questions remain regarding the integration of existing rates into the new TOU structure, the specifics of an opt-out option for customers without advanced meters, and how solar net metering will be addressed. The board plans to continue discussions over the coming months to refine these details and ensure a smooth transition to the new rate system.

In conclusion, the Light Board's commitment to implementing TOU rates represents a significant move towards energy efficiency and sustainability in Concord. As the board prepares for the rollout, ongoing education and clear communication with residents will be essential to maximize the benefits of this new pricing structure.