A rate plan is a structure of prices you pay for electric service. Each residential rate plan includes two main parts: a fixed charge and use based charges.

One of our fixed monthly fees is the System Access Charge ($8.00). This amount stays the same every month, no matter how much electricity you use. The rest of your bill, such as energy and distribution charges, depends on how much electricity you use and what the charge is per kilowatt hour (kWh). For example, if the summer Distribution Charge is $0.078955 per kWh and you use 1,000 kWh in a month, you would pay $78.95 for distribution on your bill.

Consumers Energy has four rate plans:

• Summer Rate (RSP)
• Smart Hours (RSH)
• Nighttime Savers Rate (RPM)
• Non-Transmitting Rate (RSM); call (800) 477-5050 for questions on this rate

Consider your lifestyle—how and when you use electric service. For example, if you are able to shift usage away from the 2 p.m.-7 p.m. window in the summer, Summer Rate (RSP) is likely a good option for you. If you have similar flexibility and want a time-of-use component in the non-summer months as well, Smart Hours (RSH) may be an option you would prefer.

Summer Rate (RSP), Smart Hours (RSH), Nighttime Savers Rate (RPM) and Non-Transmitting Rate (RSM) are all options if you have a smart meter.

Note: If you have a smart meter, you can’t be on the Non-Transmitting Rate, so you have to call (800)477-5050) and request that your smart meter be exchanged for a non-transmitting (i.e. non-smart) meter.

The Non-Transmitting Rate (RSM) is for non-transmitting meters.

The Summer Rate and Nighttime Savers Rate have some exclusions such as: “This rate is not available for: (i) resale purposes; (ii) multifamily dwellings containing more than four living units served through a single meter; (iii) tourist homes, rooming houses, dormitories, nursing homes and similarly occupied buildings containing sleeping accommodations for more than six persons; (iv) any other Non-Residential usage or (v) customers being served under Rule C5.5 Non-Transmitting Meter Provision.”

You can find this on the left-hand side of your bill. There will be a 3-letter code followed by a 4-number code. For example: “RSP_1001.”

Depending on the rate, it can change. For example, the Summer Rate has high demand and low demand pricing only during the summer. Nighttime Savers Rate and Smart Hours have different peak pricings throughout the year.

There are two reasons why this could happen. If your energy use is higher than compared to other months, then you’ll see more costs. For example, energy use tends to be higher in the summer due to a lot of AC use from hot weather.

Another reason could be that the rate might be higher because it’s during a low demand time. During high demand times, electricity costs more due to supply and demand.

You must be on a rate plan for 12 months. After 12 months, you are eligible to switch.

This depends which rate plan you’re on, which you’re switching to, and how much you are able to shift your electricity use. In general, the more you are able to shift to off-peak hours, the more you will save on your bill.

We recommend the Nighttime Savers Rate for EV owners. It offers our lowest rate between the overnight hours of 11 p.m. and 6 a.m., when most EV owners charge their vehicles. It also rewards you with a lower rate if you shift some of your electricity use to the morning or evening hours.

Learn more about our Nighttime Savers Rate program.