Variable Peak Pricing
Time-of-use rate customers can purchase generation service from UI that is priced on a daily basis, with different prices for on- and off-peak periods.
On October 17, 2008, UI filed a Variable Peak Pricing (VPP) Rider with the Department of Public Utility Control (DPUC--now Public Utilities Regulatory Authority [PURA]) in Docket No. 05-06-04RE04.
Effective July 1, 2009, this rider became available to customers taking generation service from UI through Last Resort Service. All customers became eligible for the VPP Rider on January 1, 2012. Under this rider, customers receiving service on a time-of-use rate will have the opportunity to purchase generation service from UI that is priced on a daily basis, with different prices for the on-peak period and off-peak period. You must have the appropriate metering to choose this rider, so a new meter may need to be installed. If non-standard metering is required, the Customer shall be responsible for the incremental costs of such metering.
VPP Historic Hourly Prices, By Year:
About Variable Peak Pricing
Variable Peak Pricing (VPP) is a form of a TOD pricing that allows customers to purchase their generation supply from UI at prices set on a daily basis. Standard on-peak and off-peak time-of-day rates are in effect throughout the month. Under the VPP program, the on-peak price for each weekday will be available the previous day (typically late afternoon) on UI's Web site. You will be billed for actual consumption during the billing cycle at these prices.
VPP may be of benefit to customers who can shift their load between on- and off-peak periods. If you receive service under the VPP program, the daily on-peak pricing will allow you to determine the amount of generation supply you wish to purchase for the following day at those prices. Because prices will fluctuate, you should assess whether you should take advantage of this opportunity and ultimately benefit.
Why is Variable Peak Pricing Offered
The Connecticut Public Utilities Regulatory Authority (PURA) authorized Variable Peak Pricing in response to legislation directed at offering voluntary real-time pricing to customers. VPP pricing may provide the opportunity for some customers to save money by shifting their usage to off peak hours. Reduced load during peak hours ultimately saves money for everyone because it can delay the need for new capacity or delivery system enhancements otherwise necessary to meet peak loads.
VPP is available to all customers as of July 1, 2010.
Who is Eligible and Peak Times
VPP is available to all customers who purchase generation supply from UI. To be eligible, you must receive service under a time-of-day rate and have a meter capable of measuring and recording on-peak usage on a daily basis. UI will install the appropriate metering.
Off-peak hours are between 8 PM and 12 noon, Monday - Friday and all weekend long.