HECO offers cheaper daytime, costly night rates
CHRISTINA CHUN / JAN. 2014
Honolulu city lights, facing Diamond Head Crater, as seen from Puu Ualakaa State Park on Round Top Drive.
Hawaiian Electric Co. launched a pilot program for residential customers who want to be charged less for their energy use during the day and more for their energy use at night.
The state’s largest electric utility announced today that up to 5,000 customers have the option to be a part of HECO’s time-of-use program, which charges three different electric rates throughout the day. Oahu residents who enroll in the time-of-use program will pay: 14.9 cents for every kilowatt-hour from 9 a.m. to 5 p.m.; 37.3 cents for every kWh from 5 p.m. to 10 p.m.; and 23.7 cents for every kWh from 10 p.m. to 9 a.m.
That compares to the current flat rate on Oahu of 24.1 cents for every kWh. Traditionally, HECO, Maui Electric Co. and Hawaii Electric Light Co. offer one rate, which does not change based on time of day.
In September, the Public Utilities Commission ordered HECO and its sister companies to offer residential customers a time-of-use rate program. The PUC said the time-of-use rates would encourage residents to shift their energy use to the day time when the most solar power is produced, which will allow more renewable energy to be added to the grid.
HECO said customers who do laundry, cook, or heat water during the day could save money. Residential customers who charge electric vehicles during the day or own energy storage systems could also save money by opting into the program, HECO said.
The program will run for two years.
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Participating customers will receive information on their bills that compares their costs under the time-of-use program and the normal residential rate for electricity. HECO said customers have the option to stop using the program before the two-year pilot is complete.
To enroll or for more information, go to www.hawaiianelectric.com/timeofuse or call:
Oahu: (808) 548-7311
Maui: (808) 871-9777
Molokai and Lanai: 1-877-871-8461
Hilo: (808) 969-6999
Kona: (808) 329-3584
Waimea: (808) 885-4605
28 responses to “HECO offers cheaper daytime, costly night rates”
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Under this proposal HECO stands to make even more money under the guise of offering their customers a savings.
Absolutely right – Most people work during the day and use the most electricity during the 5 pm to 10 pm period. By raising the rates during this period from 24.1 cents per kwh to 37.3 cents per kwh, HECO will make 50% more money from these people. People who work at night will likely lower their bill. Overall, I see HECO making a lot more profit.
this program was meant to help the people who are able to change their energy usage to help HECO level off their load. It could help retired people or people who work second shift when the cost of electricity is the most expensive. You’re right it’s not to most people but it could helpa few and every little bit helps. Y the way you have to opt into the program so if it doesn’t work for you you don’t have to sign up for it. Even if you sign up for it and discover it was better as is, you can switch back to the existing program.
their profit is limited to 10% no matter how high the rates are
Clearly the PUC is acting as a lapdog to HECO. At their beck and call, doing as their boss tells them.
Just another day in the backwards Nei.
whats your problem? the TOU program is OPTIONAL. more options are always good. you get to choose. and the PUC ordered HECO to offer a TOU program not the other way around. did you even read the article? cholo would offer you a link except…. the information is right there in the article! doh! clearly you’re just another rookie poster who shouldn’t be posting until you can first comprehend a little english.
agree..nobody is home in the day. We work!
Huh? So you get charge more for when most clients would be consuming electricity and less when they are not… This seems more of a disincentive spun to be a incentive to their customers.
Good for my employer. Horrible for me individually.
Sorry Charlie, residential rate only.
Ridiculous!
Dumb! So, I need to stop watching TV in the evening and night.
up to you. or you could just not opt in to the program. that would seem to make much more sense.
Such a stoopid proposal. Supply and demand? Charge less when demand is low, and charge more when u really need it. Wait a minute,,,, did the rail guys come up with this one??? Hah,,, figured! Nice try!
Yes. This plan is so backwards it had to come from our utterly clueless, incompetent HART. Misery loves company.
Did you mean ass backwards and was being polite? I’m sorry when something as ridiculous as this is rolled out it is what it is…I believe those who come up with these plans operate is a vacuum…akin to most (not all) politicians.
Good idea – turn off all the lights at night, then we can see the stars.
Isn’t this gouging? Even the PV users will lose out.
Just another example of HECO sticking it to us all by having this two tier system for electrical use. The vast majority of people use the bulk of their electrical power from the later
afternoon into the evening so they will not and cannot benefit from lower rates but this will allow HECO to charge most everyone more for their power use.
If the reverse was true, that is lower rate for late afternoon into the evening use, I would be for it. What a scam this is. HECO must think people are dumber than a bag of rocks.
Now wait a minute folks. You don’t have to be enrolled in the time of use program. Granted it would be beneficial for some people and for those who do, it helps Hawaiian Eectric so they won’t have to burn so much oil a night. This ultimately helps all of us as the cost of electricity overall goes down.
Uhhh, oil not burned at night is burned during the day. Oil cost is constant for day or night burning so there would not be any savings at all.
People can lower their power costs by insulating their home, all Energy Star appliances to include ceiling fans, LED lights, EPA water sense faucets and shower heads to reduce hot water usage.
Never pay more for power than you need to.
Gouging again!
Pure shibai with this statement, “Residential customers who charge electric vehicles during the day.” Lets not forget the average working person is driving to work every day and unless their vehicle can go five days without a day time charge, night is the only time.
Same for people shifting more electrical use to the day. With the majority of people at work, kids at school, who is at home to do the laundry, other power using functions. No one home, Aircon is usually turned off or down to low cooling.
No electrical utility has shown there are different costs to producing power at different hours. And with today’s Energy Star appliances, LED lights, a home’s power draw can be far less than homes of the 60s-80s, early 90s.
Notice HECO refuses to say what it has done to lower the cost of operation, power costs to rate payers. Are all HECO employees to include senior management on the 401k/ROth IRA plan? No they are not. Way too much money wasted on undeserved bonus payments and pay raises.
HECO/PUC = All talk, no action.
so if you don’t like it don’t switch to the program. why so hard to understand? just carry on as you normal do or is constantly complaining something that gets you off? cholo bets you complain when the sun comes up and complain again when it goes back down. sheesh.
It might be a temp. program now, wait in 3 to 4 years they’re going to try & make it permanent. Anything to screw the homeowners.
That’s what I was thinking too. Why propose it and put it out there now? Although, this HECO program has been in place for YEARS.
In September, the Public Utilities Commission ordered HECO and its sister companies to offer residential customers a time-of-use rate program. The PUC said the time-of-use rates would encourage residents to shift their energy use to the day time when the most solar power is produced, which will allow more renewable energy to be added to the grid.
Will need to program appliances, dishwasher, washing machine for delay start or a phone app.