{"id":6260,"date":"2018-03-20T14:27:34","date_gmt":"2018-03-20T14:27:34","guid":{"rendered":"https:\/\/www.portal.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/"},"modified":"2019-11-19T23:34:40","modified_gmt":"2019-11-19T23:34:40","slug":"socal-edison-to-increase-2018-electricity-rates","status":"publish","type":"post","link":"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/","title":{"rendered":"SoCal Edison Electricity Rates Increase in 2018 &#038; 2019"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">It&#8217;s common knowledge that the cost of solar panels and other solar related technologies has dropped significantly over the past decade and will continue to drop. Overall, this is a very good thing because it leads to a higher rate of adoption by the general public. <\/span><\/p>\n<p><!--more--><\/p>\n<p><span style=\"font-weight: 400;\">One overlooked aspect, however, is the continuously increasing cost of electricity in the US, which is estimated to go up by <\/span><a style=\"background-color: transparent;\" href=\"https:\/\/www.eia.gov\/outlooks\/steo\/report\/electricity.php\" target=\"_blank\" rel=\"noopener noreferrer\">8.4% from Jan. 2018 to Dec. 2019<\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The national trend of increased electricity rates is no different on the local level for customers of <\/span><a href=\"https:\/\/www.sce.com\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Southern California Edison<\/span><\/a><span style=\"font-weight: 400;\"> (SCE). Recently, SoCal Edison announced an increase for their 2018 electricity rates and are planning to set a dynamic charging system for electricity consumption in 2019. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">SoCal Edison\u2019s pricing update casts a shadow over some of their other benefits, like their recent $10,000\u00a0<\/span><a href=\"https:\/\/www.solar.com\/learn\/socal-edisons-10000-bmw-i3-incentive\/\"><span style=\"font-weight: 400;\">BMW i3 incentive<\/span><\/a><span style=\"font-weight: 400;\">, but increased rates are expected for this industry. This is why to maximize your long-term energy savings it is important to <\/span><a href=\"https:\/\/www.solar.com\/\"><span style=\"font-weight: 400;\">install a solar panel system<\/span><\/a><span style=\"font-weight: 400;\"> as soon as you can.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">SoCal Edison\u2019s New Electricity Rates (Out of Date)<br \/>\n<\/span><\/h2>\n<p><a href=\"#2019rates\">Click here to scroll down to the updated SoCal Edison Rates!<\/a><\/p>\n<p><span style=\"font-weight: 400;\">SoCal Edison uses a tier system to determine the rate at which a customer will be charged for their electricity consumption. There is a total of three tiers, and each tier has a different rate. The 3 tiers stack on top of one another and are based on the total quantity of electricity that the customer uses each month. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here were the <\/span><strong>original<\/strong><span style=\"font-weight: 400;\"> rates for SoCal Edison:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><strong>Tier 1<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">0-324 kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">$0.16\/kWh<\/span><\/li>\n<li style=\"font-weight: 400;\"><strong>Tier 2<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">325-1296 kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">$0.25\/kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li style=\"font-weight: 400;\"><strong>Tier 3<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">1297+ kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">$0.31\/kWh<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These are the <\/span><strong>new 2018<\/strong><span style=\"font-weight: 400;\"> rates:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><strong>Tier 1<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"color: #000000;\"><span style=\"font-weight: 400;\">0-356 kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">$0.17\/kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"color: #000000;\"><strong>Tier 2<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">357-1424 kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">$0.25\/kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"color: #000000;\"><strong>Tier 3<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">1425+ kWh<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">$0.33\/kWh<\/span><\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">There are a few noticeable changes. First, SoCal Edison has raised the threshold for entering each tier. The number of kWh included in tier 1 increased by <\/span><strong>9.9%<\/strong><span style=\"font-weight: 400;\">, and the rate for this tier also went up by <\/span><strong>6.25%<\/strong><span style=\"font-weight: 400;\">. Similarly, the cost for tier 3 went up by <\/span><strong>6.5%<\/strong><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Another important thing to note is that the cost for tier 2 stayed the same, while the amount of kWh within this tier increased by almost 100. Extending the quantity of kWh within tier 2 and keeping the rate the same will be beneficial for the majority of households, but let\u2019s see if this is true overall.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To get a better picture of how this may affect you, we can look at the average amount of electricity a household uses to see how much the overall bill would have increased.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In the United States, the average annual consumption of electricity in 2016 for a household was <\/span><a href=\"https:\/\/www.eia.gov\/tools\/faqs\/faq.php?id=97&amp;t=3\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">10,766 kWh, or 897 kWh per month<\/span><\/a><span style=\"font-weight: 400;\">. If we go off of this data, we can calculate the cost by using the 897 kWh value. Here are the original and new costs for SoCal Edison\u2019s plan:<\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\"><strong>Original Prices<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">(324 kWh * $0.16\/kWh) + (573 kWh * $0.25\/kWh) = $51.84 + $143.25 = <\/span><strong>$195.09<\/strong><strong><br \/>\n<\/strong><\/li>\n<li style=\"font-weight: 400;\"><strong>New Prices<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">(356 kWh * $0.17\/kWh) + (541 kWh * $0.25\/kWh) = $60.52 + $135.25 = <\/span><strong>$195.77 (0.35% increase)<\/strong><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">So, what we can see is that the cost for an average household will increase, but it will be increasing by an almost irrelevant amount. Obviously, because this is a tier based system, if you are consuming different quantities of electricity than the national average, you may be hit with significantly higher increases than this, but it is up to you to run those numbers. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">It seems like SoCal Edison is targeting the outliers, and with this model, they may be able to make enough additional revenue to leave the majority of consumers relatively untouched.<\/span><\/p>\n<h2><\/h2>\n<h2><span id=\"2019rates\" style=\"font-weight: 400;\">SoCal Edison\u2019s 2019 Rates (Updated 11\/19\/2019)<br \/>\n<\/span><\/h2>\n<h3><\/h3>\n<h3>SoCal Edison Time Of Use (TOU) Rates 2019 (Updated 11\/19\/2019)<\/h3>\n<p><span style=\"font-weight: 400;\">In 2019, SoCal Edison has implemented a dynamic rate system where the cost for a customer\u2019s electricity use will be based on <\/span><i><span style=\"font-weight: 400;\">when<\/span><\/i><span style=\"font-weight: 400;\"> it is consumed, also called a Time Of Use (TOU) rate structure. Check out the details in the image below.<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><img style=\"width: 640px; display: block; margin-left: auto; margin-right: auto;\" src=\"https:\/\/assets.solar.com\/wp-content\/uploads\/socal_edison_2019.png\" alt=\"socal_edison_2019.png\" width=\"640\" \/><\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here is some information that we can extract:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The rates vary greatly throughout different times of the day<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The cost is significantly cheaper from 10 pm to 8 am<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Peak times are weekdays from 2 pm to 8 pm<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">This is also just the summer rates, so if you are looking for all of the details you can check out <\/span><a href=\"https:\/\/www.sce.com\/wps\/portal\/home\/residential\/rates\/Time-Of-Use-Residential-Rate-Plans\/!ut\/p\/b1\/pVJNU8IwEP0tHnos2TSFRm9xrKUdBKGoNBcmLaFU-0UbQf69geHCjKCMOe3uvH3z3uYhjmaIl2KTpUJlVSnyfc9788B_YNizLX8UDh1gOHSfvPGAuMzWgEgD4MxjcNjH1GN9PwTfe-7a4AfOFBwnxPTRQW-II56UqlYrFLWJnCdVqWSp5rI04Fgb0Mg2W-gqE7luhJLtycysc1HuieokW6CoK0SPxnRpCkykadMYm8LRLcWLJLZll8QSH4VfUPaL8YPwE4aJY2mGV3cwuscWUOsIuPXA7QcjDZiOCfhkDMOQMQLQOwIuHC9APM2r-PAREStjQlPEG7mUjWw6n40er5Sq2zsDDNhut520qtJcdpKqMOCnlVXVKjQ7RaJIX8I5b5Wg8MrTXiYcw9WEwR9SmL2v15zpLO0z86Vd_i9MdfFSULIzPyZ0R_JNUcyHQ5NHN9-_6S0d\/dl4\/d5\/L2dBISEvZ0FBIS9nQSEh\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">SoCal Edison\u2019s time-of-use plans<\/span><\/a><span style=\"font-weight: 400;\"> to learn more. This type of system works much better for individuals who are able to manage when they use their electricity, like if you have a combined solar plus battery storage system.<br \/>\n<\/span><\/p>\n<h3><\/h3>\n<h3>SoCal Edison Tiered Rates 2019 (Updated 11\/19\/2019)<\/h3>\n<p>SoCal Edison also changed their tiered-rate program in 2019, adding a dynamic baseline allocation of energy, measured in kWh, based on the service location within SCE&#8217;s territory. The average <strong>winter allocation is 12.5 kWh<\/strong>, and the average <strong>summer allocation is 19.79 kWh<\/strong>. These baseline allocations may be higher or lower than yours, depending on where you live in SCE&#8217;s service area.\u00a0 To get a more accurate view of your rates in SoCal Edison&#8217;s tiered-rate system, follow <a href=\"https:\/\/www.sce.com\/residential\/rates\/Standard-Residential-Rate-Plan\">this link<\/a>, and scroll down until you see &#8220;How to Determine your Allocation for Each Tier&#8221;. Click on it to expand, and locate your Baseline Region Number on the <a href=\"https:\/\/www.sce.com\/sites\/default\/files\/inline-files\/Baseline_Region_Map.pdf\">map.<\/a> Your baseline allocation will correspond with the table in the &#8220;How to Determine your Allocation for Each Tier&#8221; table. Once you find your baseline allocation, you can plug it into the tiered rate plan system below to find the energy usage limits of the tiers in your tiered-rate system, and by extension approximate how much you will spend:<\/p>\n<ul>\n<li><strong>Tier 1<\/strong><br \/>\n0%-100% of Baseline Allocation in kWh<br \/>\n$0.19\/kWh<\/li>\n<li><strong>Tier 2<\/strong><br \/>\n101%-400% of Baseline Allocation in kWh<br \/>\n$0.24\/kWh<\/li>\n<li><strong>Tier 3<\/strong><br \/>\n400%+ of Baseline Allocation in kWh<br \/>\n$0.42\/kWh<\/li>\n<\/ul>\n<p>Be aware that as you climb in usage to higher and higher tiers, you may be subject to additional <a href=\"https:\/\/www.sce.com\/residential\/rates\/Standard-Residential-Rate-Plan\/High-Usage-Charge\">high usage charges<\/a> along with the higher $\/kWh rates.<\/p>\n<h2><span style=\"font-weight: 400;\">Rates are Going Up, Solar Prices are Going Down<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The cost of electricity is going to continue to increase each year, so if you do not have a solar panel system installed, you will pay even more than your current bill. Fortunately, the cost of solar is steadily decreasing. Customers of SoCal Edison are already seeing the impact of this trend, and companies around the country will follow. The best thing you can do to combat this is to <\/span><a href=\"https:\/\/www.solar.com\/\"><span style=\"font-weight: 400;\">install a solar panel system today<\/span><\/a><span style=\"font-weight: 400;\">!<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>It&#8217;s common knowledge that the cost of solar panels and other solar related technologies has dropped significantly over the past decade and will continue to drop. Overall, this is a&#8230;<\/p>\n","protected":false},"author":3,"featured_media":6451,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":""},"categories":[46,2],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v19.5 (Yoast SEO v19.10) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>SoCal Edison Electricity Rates Increase in 2018 &amp; 2019 | Solar.com<\/title>\n<meta name=\"description\" content=\"Recently, SoCal Edison announced an increase for their 2018 electricity rates and are planning to set a dynamic charging system for electricity consumption in 2019. 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This is why to maximize your long-term energy savings it is important to install a solar panel system as soon as you can.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/\" \/>\n<meta property=\"og:site_name\" content=\"Solar.com\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Solar.comOfficial\/\" \/>\n<meta property=\"article:published_time\" content=\"2018-03-20T14:27:34+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2019-11-19T23:34:40+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/s3.amazonaws.com\/solarassets\/wp-content\/uploads\/2019\/06\/blog-sce-electricity-rate-increase.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"870\" \/>\n\t<meta property=\"og:image:height\" content=\"450\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Isaac Ost\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Isaac Ost\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/\"},\"author\":{\"name\":\"Isaac Ost\",\"@id\":\"https:\/\/www.solar.com\/learn\/#\/schema\/person\/ed95ac337ade39edb1349d592d7ebea9\"},\"headline\":\"SoCal Edison Electricity Rates Increase in 2018 &#038; 2019\",\"datePublished\":\"2018-03-20T14:27:34+00:00\",\"dateModified\":\"2019-11-19T23:34:40+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/\"},\"wordCount\":1026,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.solar.com\/learn\/#organization\"},\"articleSection\":[\"How Do Solar Panels Lower Your Electric Bill?\",\"The Pros and Cons of Rooftop Solar in 2026\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/\",\"url\":\"https:\/\/www.solar.com\/learn\/socal-edison-to-increase-2018-electricity-rates\/\",\"name\":\"SoCal Edison Electricity Rates Increase in 2018 & 2019 | Solar.com\",\"isPartOf\":{\"@id\":\"https:\/\/www.solar.com\/learn\/#website\"},\"datePublished\":\"2018-03-20T14:27:34+00:00\",\"dateModified\":\"2019-11-19T23:34:40+00:00\",\"description\":\"Recently, SoCal Edison announced an increase for their 2018 electricity rates and are planning to set a dynamic charging system for electricity consumption in 2019. 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