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TOU Rate Structure

Solar ROI for United Illuminating (UI) Customers

United Illuminating (UI) charges an average of $26.8¢/kWh. Peak rates reach $35.0¢/kWh with off-peak at $17.0¢/kWh, creating strong battery arbitrage value. A 7 kW solar system produces a $23,697 NPV over 25 years.

$14,455
Net System Cost
$23,697
25-Year NPV
7 years
Payback Period
$0.177/kWh
Solar LCOE

United Illuminating (UI) Rate Structure

ParameterRate
Average residential rate$26.8¢/kWh
Peak rate$35.0¢/kWh
Off-peak rate$17.0¢/kWh
Peak/off-peak spread$18.0¢/kWh
Rate structureTOU
Export credit policy1:1 net metering with LREC program

Solar System Economics

A 7 kW solar system for a United Illuminating (UI) customer costs $20,650 before incentives. The 30% federal ITC saves $6,195. The net out-of-pocket cost is $14,455.

At United Illuminating (UI)'s $26.8¢/kWh average rate, the system saves $2,251 in year one, producing 8,400 kWh. The solar LCOE of $0.177/kWh is 34% below United Illuminating (UI)'s current rate.

Battery Storage for United Illuminating (UI) Customers

$8,400
Battery Net Cost
$2
Daily Arbitrage
$599
Annual Arbitrage
-$2,538
25-Year Battery NPV

United Illuminating (UI)'s TOU spread generates $599/year in arbitrage value. The 25-year battery NPV of -$2,538 suggests batteries are marginal on economics alone. Backup power value and grid services programs may improve the case.

FAQ: Solar for United Illuminating (UI) Customers

How much can United Illuminating (UI) customers save with solar?
A typical 7 kW solar system saves United Illuminating (UI) customers approximately $2,251/year in electricity costs. Over 25 years, the NPV of savings after system costs is $23,697.
What is United Illuminating (UI)'s rate structure?
United Illuminating (UI) uses a time-of-use (TOU) rate structure with peak rates of $35.0¢/kWh and off-peak rates of $17.0¢/kWh. The $18.0¢/kWh peak/off-peak spread creates significant value for battery storage — TOU arbitrage alone is worth $599/year.
Does United Illuminating (UI) offer net metering?
1:1 net metering with LREC program
Should United Illuminating (UI) customers add battery storage?
Battery storage for United Illuminating (UI) customers has a 25-year NPV of -$2,538. The economics are marginal based on TOU savings alone, but backup power value and future grid services programs may change the equation.

Other Utilities in Connecticut

Eversource Connecticut
$28.5¢/kWh · TOU
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