The Sacramento Municipal Utility District will launch a new rate system next month that charges residential users higher rates between 5 p.m. and 8 p.m. — and lower rates at other times.
SMUD, which provides electricity to more than a half-million residences in Sacramento County, has begun notifying some customers.
The rate overhaul will phase in groups of residential customers between October and April, officials said. Some customers with rooftop solar panels have been on the time-of-day system since earlier this year.
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SMUD is among several major utilities in the state switching to rate systems that encourage customers to reduce energy use when peak demand strains the providers’ ability to buy and deliver electricity.
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