Xcel Energy considering "Time of Use" rate that would hike prices during peak hours
MINNEAPOLIS — You may see your electric bill change in the future. Xcel Energy is considering raising the rates at peak times.
Xcel argues this could result in you actually paying less than you currently do.
The company is proposing to track your energy by using a "Time of Use" rate starting in 2025. You'd pay more at certain times of the day.
The idea is that you'd shift your electricity use to off-peak hours, which would help you save money. Xcel says the company would be able to utilize more clean energy, like wind, during off-peak times.
Xcel also says the new rate would reduce the total amount of energy the company would need to provide during peak times, allowing the company to avoid building new power plants and would keep the total cost of electricity lower.
Under the proposal, you could also opt out of the Time of Use rate and keep getting charged the same rate no matter the time of day.
