Orlando residents will see a change on their electric bills next month. The Orlando Utilities Commission (OUC) is introducing a new billing structure called DemandLevel pricing, which is designed to help families manage high‑demand moments and keep rates affordable.
What the new system looks like
Beginning in November 2026, OUC will apply a tiered pricing model based on the highest 15‑minute window of electricity demand each month. Customers who use large appliances simultaneously – for example, an oven, dryer, and air‑conditioning unit – may fall into a higher tier. By staggering those loads, homeowners can move into a lower tier and reduce their monthly payment.
The plan also includes a 12.5% reduction in the per‑kilowatt‑hour consumption rate, roughly one cent per kWh. OUC says the combined effect of the lower rate and tiered demand charges should be revenue‑neutral, meaning the utility will not generate extra profit from the change.
Why OUC believes it will help families
Jenise Osani, OUC’s vice president of customer experience and sales, told WESH 2 News that about half of residential customers can expect a decrease or no change in their bills. “It will help reduce operational costs and help to keep rates affordable,” Osani said.
Osani added that customers who adjust their usage habits can see even greater savings. The utility’s video message, which appears in customers’ email inboxes, explains how shifting the timing of high‑draw appliances can lower a household’s tier placement.
Background and approval
The DemandLevel program is part of OUC’s broader PeakShift initiative, which addresses residential, commercial, and solar energy use. The plan received unanimous approval from the OUC Board on Dec. 10, 2024, after nearly three years of study and planning.
What this means for Orlando families
For many Orlando households, the new system offers a straightforward way to save money without sacrificing comfort. By simply being mindful of when large appliances run, families can avoid peak‑demand charges and keep their electricity bills steady.
OUC emphasizes that the change is intended to be revenue‑neutral, so the utility will not increase its earnings from the new pricing. Instead, the goal is to reduce operational costs and pass those savings on to ratepayers.
Next steps
OUC will send additional information to customers in the coming weeks, including tips on how to shift usage and a detailed breakdown of the three‑tier pricing structure. Residents are encouraged to watch the utility’s explanatory video and consider simple adjustments, such as running the dishwasher or laundry during off‑peak hours.
As the new system takes effect, OUC will monitor its impact on both the grid and customer bills, with the aim of fine‑tuning the program to best serve Orlando’s growing community.
Original reporting: WESH Orlando — read the source article.