Uruguay implements new "triple residential hours" rate

Monday, September 10, 2018

This press release from Uruguay's Ministry of Industry, Energy and Mining was published using an automatic translation system.

With this measure, the consumption of electricity at dawn (valley hours) will cost 1.7 $ / kWh (which corresponds to 20% of the cost of energy during peak hours). Customers who consume between the hours of 0 to 7 hours will benefit, if we take into account that the cost of energy during peak hours (from 5 to 23 hours) is 8.5 $ / kWh.

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Users of the residential sector who subscribe to this triple-time regime will benefit most as they move more consumption at the valley hour.

To access the triple time rate, you must contact UTE through the different communication channels.

Residential customers who change their rate to triple residential hours before December 2018 may return to the previous regime after one year. In case these users evaluate that the results of the new rate are not as expected and wish to return to the previous regime, UTE will proceed to return the difference of money that would have corresponded to the change generated by the tariff modification.

All residential customers whose power is equal to or greater than 3.70 kW (kilowatt) and less than or equal to 40 kW may do so.

Policies of differentiated consumption

The new tariff schedule that allows consumption at differentiated costs in three hours for residential customers entered into force through the decree of September 3, 2018, based on an initiative of the Ministry of Industry, Energy and Mining.

The triple residential time rate deepens the tariff policies for the sector, where there is already the double residential hourly rate, which differentiates between peak and off-peak times. In the case of a double hourly rate, the adequacy of consumption is promoted by moving it from peak to off peak times. In the case of the triple residential time rate, a new alternative is added, to displace the consumption at dawn, or valley time.

These measures are in accordance with a system of electricity generation from renewable sources, where there is a supply of energy in the early hours and remaining capacity of electricity networks.