New SCE rate plans expected to raise bills for valley customers, but you can opt out

Southern California Edison is in the process of moving millions of customers to new "time-of-use" rate plans that are expected to increase bills for many in the Coachella Valley.

The new plans charge more for power during peak hours of 4 to 9 p.m.

An SCE official said that could cost people extra money around the Coachella Valley, where air conditioners are cranking in the summer during those hours.

"For most customers, they'll be paying much the same, some less some more. But customers in hotter parts of the service territory, it really may not be beneficial for them," said SCE spokesman Ron Gales.

Gales said the new plans give customers the choice of three different rate structures, automatically switching them to the lowest cost plan in the next two months unless they tell SCE they want to stick with their current tiered rate plan.

"It's going to be beneficial for many customers, others it won't," Gales said. "For those who won't, we encourage them to opt out and be on the rate that's best for them."

• TOU 4-9 p.m.: Energy usage is most expensive from 4 p.m. to 9 p.m.
• TOU 5-8 p.m.: Energy usage is most expensive from 5 p.m. and 8 p.m.
• TOU PRIME: This plan is for electric vehicle owners, and households with a residential battery or an electric heat pump system.

Click here for more information on SCE's new TOU plans.

Nichole McCall in Palm Springs said conserving energy in the early evening is difficult to do, especially in the summer heat.

"My rates could go up to 47 cents a kilowatt-hour, which just seemed really high," McCall said. "I think that it just ends up being sort of forced upon us at that point because you're not going to be able to turn off your AC too much without it being unlivable in the house."

She calls the new rate plan "punitive pricing," and worries some may not immediately notice the change.

"It puts the burden on the consumer to be able to do the legwork to find out what's going on with the changes and to opt out," McCall said.

SCE said the new plans give customers the option to choose what costs them the least while incentivizing energy conservation.

You can use SCE's online calculator to find the least expensive plan based on past usage data.

SCE customers should be receiving letters or emails with a deadline for opting out of the new rate plan.

Edison is also giving customers the option to switch back and get credit if the new plan ends up being more expensive.