2010 Load Impact Evaluation of Pacific Gas and Electric Company's Time-Based Pricing Tariffs

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Created on Thursday, 31 March 2011 00:00

This report contains ex post and ex ante load impact estimates for PG&E’s residential time-based pricing tariffs.

PG&E has three time-varying rates for residential customers. SmartRate is a dynamic tariff that has high peak period prices on up to 15 event days each year. It is an overlay on top of PG&E’s otherwise applicable tariff, which is a four tier, increasing block rate. Under SmartRate, prices vary only on event days. Two other tariffs, E-6 and E-7,are traditional, static time-of-use rates. SmartRate has been available for three years. Roughly 25,000 residential customers are on the tariff. This report s the third evaluation of the rate completed by FSC. The average load reduction during the peak period in 2010 across 13 event days was 14.1%. This evaluation examines several important policy issues, including whether load impacts differ when customers are under first year bill protection than after bill protection expires, whether impacts differ for customers on a balanced payment plan and whether structural winners respond differently than structural losers. The report also assesses whether impacts stay the same, grow or diminish for customers that are on the tariff for multiple years. The effect of customer characteristics, such as air conditioning ownership and income, are also examined.

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