Illinois Residents Have Saved $27 Million on Dynamic Pricing Programs
There’s a lot to be excited about in the Land of Lincoln. Nearly one year ago, we celebrated the monumental passage of the Future Energy Jobs Act to strengthen the Illinois economy and our state’s clean energy future. Illinois is also home to the two largest residential dynamic pricing programs in the country, which we administer, and both of these programs just hit some major milestones:
- ComEd’s Hourly Pricing program reached over $17 million in total savings and more than 17,000 active participants.
- Ameren Illinois’ Power Smart Pricing program reached over $10 million in total savings and more than 11,000 active participants.
Congratulations to all participants on these savings!
What is dynamic pricing?
ComEd and Ameren Illinois each offer two rate options: the standard fixed-price rate or the hourly rate.
On the standard fixed-price rate, you pay the same price for electricity no matter when you use it, even though the price of electricity actually varies quite a bit depending on the season and the time of day.
Dynamic pricing participants pay the hourly, market rate, so the price paid for electricity will vary hour to hour. Shifting usage to lower-priced hours can help lower your electric bills. During the approaching cooler months, for example, prices often remain below the standard fixed-price rates, and are typically lower during off-peak times, like nights and weekends. Hourly Pricing and Power Smart Pricing are designed to help you save by being smart about how and when you use energy.
In addition to the millions of dollars of savings, dynamic pricing participants are helping their communities and the environment by reducing greenhouse gas emissions and improving grid reliability.
Alexa, am I a good fit for dynamic pricing?
Really into home automation and the latest gadgets? Dynamic pricing might be a good fit for you. Many participants are quite engaged with the programs and leverage energy-related home products, like smart thermostats, to take advantage of energy-saving opportunities. Mobile apps, enhanced alerts, and bill comparison tools also help participants check prices and access savings information.
However, you don’t need to be a tech whiz or monitor your usage like a hawk to save. Since the hourly rate is lower than the standard rate approximately 90% of the time, you can save without lifting a finger.
Own an electric vehicle?
With dynamic pricing, you can slash the cost of charging your car by plugging in during off-peak or lower-priced hours. Many EVs have scheduled charging features that allow you to set the times your car will charge. So, you can plug in when it’s convenient for you knowing your car won’t charge until a time when prices are typically lower. Read more about how EV owner Mike saved with Hourly Pricing.