KNOWLEDGE CENTER ARTICLE

Time of Use Rates: Transforming Solar Energy for Homeowners

solar panels on a San Diego roof

Estimated Read Time: 5 Minutes

For years, solar homeowners benefited from a simple equation: generate energy during the day and offset the electricity they use later. But as California’s electric grid continues to evolve, so does the value of solar energy.

A recent change to local electricity pricing reflects a new reality. Beginning May 1, a new weekday Super Off-Peak period from 10:00 AM to 2:00 PM became available year-round, the same hours when solar production is often at its highest. The goal is to encourage customers to use electricity when solar energy is most abundant on the grid. [cbs.com]

For homeowners with solar, this shift highlights an important question:

If energy is cheapest when your panels are producing the most power, how do you maximize the value of your solar investment?

Why the Grid Is Changing

California now produces enormous amounts of solar energy during the middle of the day. In fact, utility operators have increasingly encouraged electricity use during daylight hours because that’s when solar production is at its peak. The new Super Off-Peak pricing window was specifically designed to align with these conditions, giving customers access to the lowest rates when energy is most plentiful. [cbs.com]

The challenge is that most households don’t use the majority of their electricity at noon.

Instead, energy use often peaks later in the day when families return home, air conditioners are running, lights are on, dinner is being prepared, and electronics are in use.

The Solar Timing Challenge

Solar panels typically generate the most electricity between late morning and early afternoon.

While that’s great for production, it doesn’t always match when homeowners need energy the most.

As pricing structures evolve, homeowners are discovering that generating electricity is only part of the equation. The timing of when energy is produced, and when it’s used, has become increasingly important.

The result is a growing gap between:

  • When solar systems generate the most energy
  • When homes consume the most energy

Understanding this gap is becoming key to maximizing the benefits of a solar system.

Getting More Value From Your Solar Energy

The new daytime pricing structure reflects an electric grid with abundant midday solar generation. While that helps reduce costs during daylight hours, many households still rely on grid electricity during the evening when solar production has ended.

This shift is causing more homeowners to rethink how they manage the energy their solar system produces.

Rather than focusing only on energy generation, today’s homeowners are increasingly focused on energy management, how to use more of their solar energy when their household actually needs it.

Why Battery Storage Is Becoming More Valuable

A home battery allows homeowners to store excess solar energy produced during the day and save it for later use.

Instead of relying entirely on the grid after sunset, stored energy can be used during evening hours when household demand is often highest.

This provides several advantages:

  • Greater use of your own solar energy
  • Reduced reliance on utility power
  • More protection against future rate changes
  • Backup power during outages and emergencies

As electricity pricing becomes more dependent on time of use, battery storage is becoming an increasingly valuable complement to solar energy.

The Future of Home Energy

The new Super Off-Peak window isn’t a sign that solar is less valuable. In many ways, it’s evidence of solar’s success. California now has so much daytime solar production that utilities are encouraging customers to use more power during the middle of the day. [cbs.com]

For homeowners, the next step isn’t necessarily generating more energy, it’s making better use of the energy they already produce.

That’s why battery storage is becoming an important part of the conversation. It allows homeowners to align their energy use with their lifestyle instead of relying solely on utility pricing schedules.

Make the Most of Your Solar Investment

As electricity pricing continues to evolve, homeowners are looking for new ways to maximize the value of their solar systems.

Understanding when energy is produced, when it’s used, and how it’s stored can help create a more resilient and efficient home energy strategy for years to come.

Help Us Understand Your Energy Needs

We invite you to take a brief survey about the new daytime rate structure, your experience as a solar homeowner, and your interest in battery storage solutions. Your feedback helps us better understand the challenges homeowners face and develop resources that address your energy needs.

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