Will NV Energy's Time-of-Use Plan Increase My Electricity Bill? -> Organic Traffic Done-For-You

Summary: Are you prepared for NV Energy’s mandatory demand charges starting April 2026 that could add $20-$38 to every Southern Nevada electricity bill? Your current rate plan won’t protect you from this fundamental billing change.

PodCast: Discover whether NV Energy’s Time-of-Use plans will save or cost you money, plus what the mandatory demand charges starting in 2026 mean for Southern Nevada homeowners.

Key Takeaways

NV Energy’s Time-of-Use plans can lower bills for flexible households but may increase costs for traditional 9-to-5 families who use most electricity during peak hours
New mandatory demand charges start April 16, 2026, adding an estimated $20-$38 monthly to Southern Nevada bills regardless of your rate plan
Electric vehicle owners and solar customers with battery storage typically see the biggest savings on Time-of-Use plans
Demand charges are calculated differently than traditional billing – they’re based on your highest 15-minute usage spike each day, not total consumption
Solar panels alone won’t protect against demand charges, but battery systems can help reduce peak usage spikes

Southern Nevada homeowners face a confusing maze of electricity billing options. NV Energy’s Time-of-Use plans promise savings for some families while potentially raising costs for others. Meanwhile, new demand charges are looming on the horizon, threatening to increase everyone’s bills regardless of the plan they choose.

NV Energy’s Time-of-Use Plans Won’t Always Increase Your Bill—But New Demand Charges Will

The answer to whether Time-of-Use billing increases electricity costs depends entirely on daily routines and energy consumption patterns. Some Southern Nevada families save $30-50 monthly by shifting their electricity usage to off-peak hours. Others see their bills climb by similar amounts when they can’t adjust their schedules.

Time-of-Use plans reward flexibility. Families who run dishwashers after 9 PM, charge electric vehicles overnight, and avoid afternoon air conditioning during summer peak hours (1 PM to 6 PM) often discover significant savings. The off-peak rate can drop to 5 cents per kilowatt-hour, while peak summer hours cost 18 cents or more.

Traditional 9-to-5 households face the opposite reality. Cooking dinner between 6 PM and 9 PM during winter peak hours, running laundry in the evening, and using electronics during prime time creates higher bills. These families benefit from understanding how emerging energy technologies and changing utility structures make solar investments increasingly vital for long-term bill protection.

Time-of-Use vs. Standard Rates: The Key Differences

Standard NV Energy billing maintains consistency. Customers pay approximately 11 cents per kilowatt-hour regardless of when electricity is used. A 1,200-kilowatt-hour monthly usage results in predictable costs around $150, including fees and service charges.

Time-of-Use billing creates price fluctuations throughout the day. The same 1,200 kilowatt-hour usage might cost $135 for families who time their consumption during cheap off-peak hours, or $175 for those who concentrate usage during expensive peak periods.

TOU Plans Offer Different Peak Hour Options

Southern Nevada residents face shorter peak windows than Northern Nevada customers. Las Vegas and Henderson see winter peak hours from 6 PM to 9 PM daily, while summer peak shifts to 1 PM to 6 PM on weekdays. This three-hour winter window provides more flexibility than Reno’s six-hour peak period, running 3 PM to 9 PM.

The shorter peak windows benefit families willing to adjust schedules. Starting dinner preparation at 5:30 PM instead of 7 PM avoids winter peak rates entirely. Running pool pumps from 10 PM to 6 AM captures the lowest electricity prices of the day.

Mandatory Demand Charges Start April 16, 2026

The Public Utilities Commission of Nevada approved a fundamental change to residential billing in September 2025. Starting April 16, 2026, Southern Nevada customers will face mandatory daily demand charges regardless of whether they choose standard or Time-of-Use billing.

These charges operate completely differently from traditional consumption billing. Smart meters monitor electricity usage in 15-minute intervals, identifying the highest demand period each day. That peak gets charged at approximately 18 cents per kilowatt.

New Demand Charges Add $20-$38 Monthly

NV Energy projects a $20 average increase, while consumer advocates warn that demand charges will increase most residential bills by $20 to $38 monthly. The actual impact depends on how much electricity households use during their peak 15-minute period each day.

Unlike traditional billing that rewards overall conservation, demand charges penalize concentrated usage regardless of total consumption. A family might use less electricity overall but pay more if they run multiple high-draw appliances simultaneously.

Daily Spikes Create Higher Bills: 8kW Usage = $1.44 Per Day

Consider a typical evening scenario. The oven preheats for dinner while the air conditioner kicks on due to the afternoon heat. Someone starts the dishwasher while another family member uses the clothes dryer. During those 15 minutes, the home draws 8 kilowatts of power.

At 18 cents per kilowatt, that single day generates a $1.44 demand charge. Multiply by 30 days, and the monthly demand charges reach $43. More realistic scenarios involve 4-6 kilowatt peaks during normal household activities, creating monthly charges of $22 to $32 added to existing bills.

Solar Customers Average $20, High-Usage Homes Face $38

Even homes with extensive solar panel installations face demand charges. Solar panels might cover 90% of monthly electricity consumption, but any 15-minute spike from the grid triggers the daily charge. Battery systems become necessary to smooth out these peaks and reduce demand costs.

High-usage households without solar face the steepest increases. Large homes with multiple air conditioning units, electric vehicle charging, pool equipment, and standard appliances frequently create 6-8 kilowatt demand spikes, pushing monthly charges toward the $38 upper estimate.

Who Saves Money on Time-of-Use Plans

Three groups consistently benefit from Time-of-Use billing structures. These households can shift significant electricity usage to low-cost periods while avoiding expensive peak hours through schedule flexibility or technology investments.

1. Electric Vehicle Owners

Electric vehicle charging represents 300-400 additional kilowatt-hours monthly for most drivers. Charging during peak hours costs $54-72 monthly at summer rates. The same charging during off-peak hours costs $15-20. Annual savings reach $450-625 for families who charge overnight.

NV Energy offers special EV Time-of-Use rates that further reduce overnight charging costs. Combined with Time-of-Use billing, electric vehicle owners often see their total electricity bills drop despite adding significant consumption.

2. Solar Panel Owners with Battery Storage

Solar panels generate electricity during expensive peak hours when rates reach 18 cents per kilowatt-hour. This timing creates immediate value by avoiding the highest-cost electricity. Battery systems store cheap off-peak power for use during expensive periods, maximizing savings.

The combination protects against both Time-of-Use rate variations and upcoming demand charges. Batteries can discharge during 15-minute usage spikes, preventing high demand charges while solar panels offset peak-hour consumption.

3. Flexible Schedule Homeowners

Retirees, remote workers, and shift workers can time major appliance use around peak hours. Running washing machines before 1 PM, using dishwashers after 9 PM, and precooling homes before peak hours can reduce bills significantly.

One Henderson couple reported saving $35 monthly simply by adjusting when they used appliances. Their total electricity consumption remained the same, but timing changes shifted usage from 18-cent peak hours to 5-cent off-peak periods.

Who Pays More Under New Rate Structures

Traditional household schedules often conflict with Time-of-Use savings opportunities. Families with inflexible routines find their electricity costs climbing under both current TOU plans and future demand charges.

Traditional 9-to-5 Households

Working families typically arrive home between 5 PM and 6 PM, right when winter peak hours begin. Dinner preparation, homework time with computers and lights, and evening laundry all occur during the most expensive electricity periods.

These families use 60-70% of their electricity during peak hours, creating bills that increase $25-40 monthly compared to standard rates. The inability to shift major usage to off-peak periods eliminates potential savings.

High Evening Usage Families

Households with teenagers gaming online, multiple televisions running, and heavy evening appliance use face the steepest increases. Peak-hour consumption often exceeds 70% of total usage, making Time-of-Use plans expensive.

These families benefit from energy management systems that automatically delay non-essential appliance operation until off-peak hours. Smart water heaters, programmable dishwashers, and automated pool equipment can shift some usage without lifestyle changes.

Solar and Storage Provide Limited Protection

Solar panel installations help with Time-of-Use billing by generating electricity during expensive peak hours. However, the upcoming demand charge system creates new challenges that solar panels alone cannot address.

Battery Systems Can Reduce Some Demand Spikes

Battery storage systems smooth out electricity usage by discharging during high-demand periods. Instead of drawing 8 kilowatts from the grid during a usage spike, a home might draw 2 kilowatts from the grid and 6 kilowatts from batteries. This reduces the daily demand charge from $1.44 to $0.36.

Properly sized battery systems can eliminate most demand charges for typical residential usage patterns. However, extremely high-usage periods—such as charging electric vehicles while running multiple appliances—may still create demand charges even with battery backup.

Net Metering Cannot Offset New Demand Charges

Nevada’s net metering program credits solar customers for excess electricity sent back to the grid. These credits offset consumption charges but provide no protection against demand charges. A home that produces more electricity than it consumes still faces demand charges for any power drawn from the grid during peak usage moments.

This reality makes battery storage increasingly valuable for solar customers. Batteries prevent grid draws during usage spikes while allowing solar panels to continue offsetting total consumption through net metering credits.

Switch to Time-of-Use Now or Install Solar Before April 16, 2026

NV Energy offers a risk-free trial period for Time-of-Use plans through its Guaranteed Lowest Rate feature. The utility analyzes usage after twelve months and refunds any difference if the standard rates would have cost less. This removes financial risk from trying TOU billing.

Homeowners considering solar installation should act before demand charges take effect. Current net metering rules provide better long-term returns than future policies might offer. Federal tax credits remain at 30% through December 31, 2025, while battery incentives help offset storage system costs.

The combination of solar panels and battery storage provides the best protection against both Time-of-Use rate increases and upcoming demand charges. These systems generate electricity during expensive peak hours while preventing usage spikes that trigger demand charges.

Rate structures will continue changing as Nevada’s electricity grid modernizes. Homeowners who invest in energy independence through solar and storage gain control over their electricity costs regardless of future utility rate modifications. The window for maximizing these benefits under current incentive programs closes rapidly as 2026 approaches.

For expert guidance on navigating Nevada’s changing energy landscape and solar investment strategies, visit M&J Trusted Marketing, where experienced professionals help homeowners make informed decisions about energy independence and long-term cost protection.

Frequently Asked Questions

How do I know if time-of-use rates will save me money?

Look at when electricity gets used in the home. Families who use most power during peak hours (6pm-9pm in Southern Nevada) will pay more on TOU plans. Homes that can shift usage to mornings, midday, or late night will save money.

Log into the NV Energy account online and check hourly usage data. If more than 60% of usage happens during peak hours, stick with standard rates. If less than 40% happens during peak, TOU rates will probably cost less.

Can I switch back to standard rates if TOU doesn't work out?

Yes. NV Energy allows customers to switch between rate plans. Some areas offer a one-year trial where the utility analyzes usage and refunds any difference if standard rates would have cost less.

Contact NV Energy customer service to request a rate change. The switch typically takes effect within one billing cycle. There's no penalty for changing back to standard rates.

What are peak hours for my area?

Southern Nevada (Las Vegas, Henderson, Boulder City):

Winter: 6pm to 9pm daily
Summer: 1pm to 6pm, Monday through Friday only

Northern Nevada (Reno, Carson City, Sparks):

Year-round: 3pm to 9pm daily

Weekends and holidays have shorter peak windows in some areas. Check the NV Energy website or call customer service for exact hours.

Will I still have demand charges if I choose time-of-use rates?

Yes. Starting April 16, 2026, all Southern Nevada customers face mandatory demand charges regardless of rate plan. The demand charge gets added on top of either standard or TOU rates.

Northern Nevada customers won't have residential demand charges initially, but changes to solar net metering affect how credits get calculated for new solar installations after October 1, 2025.

How much will demand charges add to my monthly bill?

The average home uses about 3.5 kilowatts during peak demand periods. At 18 cents per kilowatt, that adds about $20 monthly. Homes with higher peak usage (5 to 6 kilowatts) could see $27 to $38 added each month.

The actual amount depends entirely on usage patterns. Homes that spread out electricity use throughout the day will see smaller increases. Families that concentrate usage in short bursts (running oven, AC, and dryer simultaneously) will face higher charges.

How exactly is the demand charge calculated?

NV Energy monitors electricity use in 15-minute intervals throughout each day. The system identifies the highest 15-minute usage period. That peak usage amount gets charged at 18 cents per kilowatt.

For example: Running the AC, dryer, and oven at the same time creates an 8 kilowatt demand for 15 minutes. That day's demand charge would be 8 kilowatts × 18 cents = $1.44. This calculation happens every single day and gets added up at month's end.

Do solar panels help reduce time-of-use costs?

Solar panels generate the most electricity during expensive peak hours. This timing creates value under TOU rates. Panels produce when electricity costs 18 cents per kilowatt-hour instead of buying at that high rate.

Under the new demand charge system, panels alone won't prevent charges. Battery storage becomes necessary. Batteries smooth out usage spikes so demand charges stay low even when the AC kicks on.

Should I wait until after the demand charges start to install solar?

No. The federal tax credit covers 30% of solar system costs through December 31, 2025. That credit drops to 26% in 2026. Installing before the end of 2025 saves thousands in upfront costs.

Solar systems installed before April 2026 lock in current net metering rules. Systems installed after that date face different crediting structures that could reduce savings.

How do I calculate my peak usage percentage?

Request three months of hourly usage data from NV Energy. Add up all kilowatt-hours used during peak times. Divide that number by total monthly usage. Multiply by 100 to get the percentage.

For example: 400 kilowatt-hours during peak ÷ 1,000 total kilowatt-hours = 0.40 × 100 = 40% peak usage.

Below 40% means TOU rates will save money. Above 60% means standard rates cost less.

Will charging an electric vehicle at home increase my bill significantly?

Charging during off-peak hours (typically 10pm to 6am) keeps costs low. A vehicle using 350 kilowatt-hours monthly costs about $17.50 at off-peak rates versus $63 at peak rates.

TOU plans make perfect sense for EV owners who charge overnight. The savings from cheap overnight electricity offset the higher peak rates during other hours.

What happens if I do nothing and stay on my current rate plan?

Customers currently on standard rates stay on standard rates. Demand charges get added starting April 2026 in Southern Nevada, but the base rate structure doesn't change unless requested.

Customers already on TOU rates keep those rates. The utility won't force a switch back to standard rates.

Can home automation devices really lower my electricity bill?

Programmable thermostats save the most money. Setting the AC to precool the home at 2pm (before peak hours) instead of cooling during 6pm-9pm peak cuts costs significantly.

Plug timers for water heaters, pool pumps, and phone chargers cost $10 to $20 each. They automatically run devices during cheap electricity hours. Most families save $30 to $50 monthly with basic automation.

Full home energy management systems cost more but provide detailed tracking of every device. These systems identify exactly where electricity gets used and when.

How long does it take to see savings after switching to TOU rates?

The first full month after switching shows the difference. Compare the new bill to the same month from the previous year (to account for seasonal changes).

Give it three full months to see the real pattern. Summer bills look different from winter bills. Usage changes with weather, holidays, and daily routines.

What's the biggest mistake people make with time-of-use plans?

Assuming TOU rates will save money without changing behavior. Switching to TOU and keeping the same daily routine usually costs more, not less.

The second biggest mistake is running multiple high-power devices at the same time under demand charges. Running the dryer while cooking dinner while the AC runs creates a usage spike that triggers high demand fees.

Are there any programs to help low-income families with higher bills?

Nevada offers energy assistance through the Low-Income Home Energy Assistance Program (LIHEAP). This program helps qualifying households pay electricity bills.

NV Energy also has budget billing that spreads costs evenly across 12 months. This doesn't reduce the total amount owed, but it prevents bill shock during hot summer months.

Some local nonprofits offer free energy audits and weatherization help. Check with county social services for available programs.

How do I get the detailed usage data from my smart meter?

Log into the NV Energy account at nvenergy.com. Click on "My Usage" or "Usage Details" in the account dashboard. The system shows hourly usage for the past 12 months.

Download the data as a spreadsheet to analyze patterns. Look for the highest usage hours and days. This information helps decide which rate plan makes sense.

Customer service can also email detailed usage reports. Call and request "interval data" or "hourly usage history" for the past three to six months.

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This informative article, “Will NV Energy’s Time-of-Use Plan Increase My Electricity Bill?” can be adapted and repurposed across multiple marketing formats to help increase website traffic for kitchen remodeling services, build trust with potential clients, and differentiate their services in a competitive market. We help with “Turn Solar Education Into Sales: Content That Converts Curious Homeowners” by transforming technical content into powerful marketing campaigns across all digital channels, ensuring maximum reach and engagement with potential customers.

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