Hourly Flex Pricing

If you are enrolled in the Hourly Flex Pricing pilot, prices vary by hour. Trending prices are published seven days in advance. Final prices are set at 4 p.m. a day in advance. Monitor prices for the upcoming week and shift your energy usage to cheaper hours to save.

This rate includes a dynamic hourly price for Generation and Distribution. Hourly Flex Pricing charges will also include Transmission costs and other costs specific to your current rate plan.
 

This rate includes a subscription that is based on your energy use for the same day and hour last year. If you use more energy than your subscription quantity for an hour, the additional energy use will be charged at the dynamic price. If you use less energy than your subscription quantity for an hour, you will be credited the difference at the dynamic hourly price.
 

Agricultural customers can also transact on energy prices up to seven days in advance. This allows for scheduling of energy use that locks in the energy price seen at the time of scheduling.

Prices will vary based on market conditions, which will affect the price to supply electricity (generation prices) and the price to distribute electricity (distribution prices). Generally, prices are higher during the summer months (June through September) and lower during other times of the year.

Prices are likely to be higher on extreme weather days or when grid conditions impact overall electricity demand. Through this pilot, you can check price trends a week ahead and plan to use energy when prices are lower to save. Also, your participation in this pilot is risk-free. See “How is Hourly Flex Pricing risk-free?” below. 

Working with automation service providers who can send direct price signals to your devices will help you manage your energy use based on hourly prices.

Technologies are also available to help you minimize energy use during the most expensive times of day. Examples include:

• Smart thermostats to help you manage your HVAC
• Electric vehicle charging technology for homes and businesses
• Irrigation pumping automation equipment for agricultural use
• Energy management systems that help schedule manufacturing operations
  

Automation Service Providers (ASPs) provide automation technology and integration to manage and optimize equipment usage in response to changes in energy prices.

Hourly Flex Pricing Automation Service Providers for agricultural customers:

• Polaris Energy Services
  

We are currently accepting applications for additional Automation Service Providers. We will update this webpage as more Automation Service Providers come onboard.

When demand for electricity increases dramatically, it can put a strain on the state’s electric grid. When you avoid using electricity during hours of peak demand, you help prevent supply-and-demand issues that can lead to rotating outages. Lower demand also helps ensure that cleaner forms of energy are being supplied by minimizing the need for fossil-fuel plants.  

You will receive email notification from PG&E indicating the date your account will become active on the pilot.

Activation on the pilot coincides with the start of your regular PG&E billing cycle. Applications received and approved approximately 10 or more days before the start of your next billing cycle typically will become active on your next billing cycle. If less than 10 days, then activation typically will occur on your following billing cycle.

Customers installing automation equipment or working with an Automation Service Provider may want to consider timing their application so that activation on the pilot is aligned with their ability to respond to the pilot’s hourly energy prices.

We encourage customers to stay on for the duration of the pilot. This will help us assess the benefits of these rate plans for customers and grid reliability. Participation is risk-free, so you will not pay more on Hourly Flex Pricing than you would have on your current rate plan. However, you can end your participation if it doesn’t work for you.

Agricultural customers that receive automation technology incentives must participate in the Agricultural Hourly Flex Pricing pilot until December 31, 2027. If customers unenroll from the pilot prior to December 31, 2027, they must repay a pro-rated portion of incentives received.

The Hourly Flex Pricing rate plan pilot ends in December 2027. Customers will not need to make any changes at the end of the pilot. They will remain on their current rate plan. 

You will not pay more on Hourly Flex Pricing than you would have on your current rate plan.

While on the pilot program:

• You continue to receive and pay your regular monthly PG&E energy statement, with energy charges based on your current rate plan.
• You will also receive a monthly supplemental Hourly Flex Pricing statement that tracks your performance while on the pilot program
• After 12 months, if you performed better in total on Hourly Flex Pricing than on your current rate plan, you will receive a credit for the difference. 

Dual participation in Hourly Flex Pricing and the following Demand Response programs is allowed:

• Smart Rate
• Peak Day Pricing
• Emergency Load Reduction Pilot Subgroup A1, A3, and A6.

Dual participation in Hourly Flex Pricing and the following programs is prohibited:

• Base Interruptible Program, Capacity Bidding Program, Demand Response Automation Mechanism Demand Response Resource Adequacy Contracts, Demand Side Grid Support
• Flex Market Pilot
• Emergency Load Reduction Program Subgroup A2, A4 and A5, Subgroup B
• Optional Binding Mandatory Curtailment, Scheduled Load Reduction Program
• Any supply-side Demand Response programs or event-based load-modifying programs, regardless of the Load Serving Entity
• PG&E bundled Customers cannot be enrolled in Green Saver, Local Green Saver, Regional Renewable Choice, or Solar Choice programs.

CCA customers can enroll if their CCA has elected to participate in the pilot. Contact your CCA for any of their specific eligibility rules.

Customers that install new automation equipment to aid in controlling agricultural electrical loads in response to dynamic hourly pricing may be eligible for incentives up to $160/kW of controlled load (approximately $120/HP for pumps) per Project.

What expenses are eligible for agricultural incentives?

Eligible costs for incentives can include costs for hardware, installation, software license fees, and service fees, when they aid in controlling electrical loads in response to dynamic hourly prices.

What are the agricultural incentives general eligibility requirements?

Customers must be eligible for the Hourly Flex Pricing Agricultural Pilot, have a PG&E interval meter installed at the location where the automation equipment is installed, submit an incentive application within 90 days of project/technology purchase or installation, and commit to participating in the Agricultural Hourly Flex Pricing pilot until December 31, 2027. If customers unenroll from the pilot prior to December 31, 2027, they must repay a pro-rated portion of incentives received. Customers can apply for more than one incentive on different projects as long as they satisfy all incentive rules.

How can I estimate the amount of my agricultural technology incentive?

There is an incentive cap of $160/kW of controlled load (approximately $120/HP for pumps), up to 100% of eligible project costs. There is no incentive cap per customer. The determination of controlled kW loads receiving new automation technology installations must be supported with incentive application documentation. PG&E’s implementer, Polaris Energy Services, can assist customers in estimating eligible incentives.

What is needed for the agricultural incentive application?

Agricultural incentive applications must attach documentation including invoices with eligible project costs, kW load determinations, photos of controlled equipment and installed automation technology.

The incentive application can only be completed after the Hourly Flex Pricing participation application is completed. PG&E’s implementer, Polaris Energy Services, can assist customers in completing incentive applications.