Time-of-Use Rates

Time-of-use (TOU) rates give residential customers the opportunity to reduce their electric bills by changing when they use electricity. If you shift significant electricity use from times of high electric demand to when demand is low, you will save.  Complete the Benefit Worksheet to see if TOU rates may be right for you.

Program details

  • Minimum of one full year participation required.
  • MGE will install the special TOU meter at no extra charge.
  • Electricity is priced differently during the different time periods.
  • Similar to standard rates, electric energy charges are higher in the four summer months.
  • There are six off-peak holidays: New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and Christmas Day

Pricing varies with time of day

  • During off-peak hours, electric energy charges are lower than standard electric service rates. During on-peak they're higher.
  • All electric consumption is charged a lower base energy, all kWh charge. During off-peak times, it is the only energy charge.
  • On-peak electric consumption is charged the base energy, all kWh charge plus a peak charge that reflects the extra cost to generate electricity for the highest summer energy demand period.

Effective January 1, 2021:

Charges during Winter Season (Oct. 1 - May 31) per kWh

Time Period Distribution Service Base Energy all kWh On-Peak Total/kWh
Off-peak $0.03378 $0.05959 N/A $0.09337
On-peak 1 $0.03378 $0.05959 $0.11196 $0.20533
On-peak 2 $0.03378 $0.05959 $0.11003 $0.20340
On-peak 3 $0.03378 $0.05959 $0.11377 $0.20714

Charges during Summer Season (June 1 - Sept. 30) per kWh
Time Period Distribution Service Base Energy all kWh On-Peak Total/kWh
Off-peak $0.03378 $0.05959 N/A $0.09337
On-peak 1 $0.03378 $0.05959 $0.11328 $0.20665
On-peak 2 $0.03378 $0.05959 $0.12292 $0.21629
On-peak 3 $0.03378 $0.05959 $0.11587 $0.20924
 

Mandatory TOU rates

TOU rates are an option for most customers; however, some MGE customers must be served on Time-of-Use rates:
  • Business customers with a demand greater than 20 KW.

Who can benefit

If you shift significant electricity use from times of high electric demand to when demand is low, you could save money with this rate option. Typically those who are saving on this rate:

  • Are away from home daytime Monday through Friday.
  • Have large electric users:
    • Water heater
    • Dehumidifier
    • Electric clothes dryer
    • Central air conditioner
    • Plug-in electric vehicle
  • Shift most of their use to off-peak.
  • Have 31 or more points on the Benefit Worksheet.

To sign up

Call Customer Services at (608) 252-7222 during business hours (7 a.m. to 7 p.m., M-F) or email customerservices@mge.com. We'll send an agreement for your signature and start the request for your new meter installation.

For more information