The electricity you use in a month is broken up into tiers. It may be helpful to think of tiers as usage levels. As you use electricity during the month, you move up from one tier or usage level to the next and the price you get charged goes up in each tier.
You start off the billing cycle in Tier 1 which is called your baseline allowance. Your baseline allowance is for basic needs such as heating, cooking, lighting, and refrigeration.
In Tier 1 your usage gets billed at the lowest rate per kWh. But once you’ve used this amount you move up to Tier 2 and once you reach the maximum in Tier 2 you move up to Tier 3 and once you reach the maximum in Tier 3 you move up to Tier 4.
Tiers 1 and 2 are least expensive. Tiers 3 and 4 cost more. Managing your usage so that you stay in the lower tiers can lower your overall bill.
SDG&E’s service territory is divided into four different climate zones: (1) Coastal, (2) Inland, (3) Mountain, and (4) Desert. Each climate zone is assigned different daily baseline allowances. Baseline allowances are set between 50 and 60 percent of the electricity the average residential customer uses in each territory.
See the area climate zones map
The daily baseline allowance varies by season. For residential customers, the summer season is defined as May 1 through October 31 and the winter season is defined as November 1 through April 30.
Customers that receive both electric and natural gas service, will have different baseline allowances (basic service baseline allowances) than customers with all electric service (all electric baseline allowances).
SDG&E and San Diego Gas & Electric are registered trademarks of San Diego Gas & Electric Company.
© 1998-2013 San Diego Gas & Electric Company. The Trademarks used herein are the property of their respective owners. All rights reserved.
