SDG&E Rate Plans for San Diego Homeowners: How Time-of-Use Pricing Works

by Trevor Landress

SDG&E offers several residential rate plans, and the biggest difference is whether your price changes by time of day. On time-of-use plans, the on-peak period is 4 p.m. to 9 p.m., and most plans require a 12-month commitment, so the plan you choose when you move in is worth a few minutes of homework.

The short answer

TOU-DR1 has three periods, TOU-DR2 has two, and Standard DR has one period with tiers by usage.
On-peak is 4 p.m. to 9 p.m., when demand and prices are highest.
Prices are based on your baseline allowance, and Tier 1 covers usage up to 130% of baseline.
Most plans need a 12-month commitment and can be changed once every 12 months.

The main plans

SDG&E's residential pricing plans page, which showed prices effective August 1, 2026, lists these plans:

Plan	SDG&E describes it as suited to	Periods
TOU-DR1	Customers who can use energy during super off-peak hours	Three
TOU-DR2	Customers who prefer a simpler plan	Two
Standard DR	Consistent pricing regardless of time of day	One, tiered by usage
EV-TOU-5	Customers who charge an EV overnight, or who are on the Solar Billing Plan	Three
TOU-ELEC	Electrified homes with a battery, an EV or a heat pump	Three
EV-TOU	Customers with a separate meter tracking EV charging	Three
DR-SES	Net Energy Metering solar customers	Three
TOU-DR-P and EV-TOU-5-P	Customers who can cut use on event days	Three plus an event-day adder

How time-of-use periods work

On-peak: 4 p.m. to 9 p.m., when demand and prices are highest.
Off-peak: lower demand and prices than on-peak.
Super off-peak: the lowest prices. For TOU-DR1 on weekdays, that is 12 a.m. to 6 a.m. and 10 a.m. to 2 p.m.
TOU-DR2 has only two periods: on-peak from 4 p.m. to 9 p.m. daily and off-peak all other hours.
Holidays are listed on the page and are priced like weekends.

The practical point is simple. If most of your use happens from 4 p.m. to 9 p.m., a time-of-use plan can cost more than you expect. If you can shift laundry, charging and cooling to cheaper periods, it can cost less.

Baseline and tiers

SDG&E says prices are based on your baseline allowance, with an online calculator. Tier 1 covers usage up to 130% of baseline, and Tier 2 covers usage above that. On Standard DR, each billing period starts in Tier 1, and exceeding baseline moves you to Tier 2 for the rest of the cycle. All prices on the page exclude the monthly Base Services Charge.

I am leaving out cents-per-kilowatt-hour figures on purpose. SDG&E's own pages list different totals, depending on the plan, tier and effective date, and rates change. Use SDG&E's current rate tables for your plan.

Community choice and delivery charges

The page notes that customers who buy their generation from a community choice aggregator pay SDG&E delivery charges only, and the generation price comes from the aggregator. Reduce Your Use plans are not available to those customers. If your address is served by one, ask which company supplies your power and what the combined price is.

Reduce Your Use event days

The Reduce Your Use plans allow up to 18 event days per year. An adder of $1.16 per kilowatt-hour applies from 4 p.m. to 9 p.m. on those days. SDG&E asks customers to conserve during those hours and to keep their contact information and alerts current. These plans are for people who can reliably cut use at those times.

How to switch plans

Log in to My Energy Center.
Open the Billing dropdown and select Pricing Plans.
Scroll to the eligible plans and click Enroll.

Most plans require a 12-month commitment, and you can change once every 12 months. If you changed within the last 12 months, you will not see the enroll option. The comparison tool compares up to three plans, though it may not appear for recently moved or solar customers until the account has 12 months of history. That is a reason to choose carefully the first time.

What buyers should do

Ask the seller for 12 months of electric bills and which plan the home is on. If the home has solar, the plan and the ownership of the system both matter, which I explain in my solar guide. And if you plan to upgrade to a heat pump, read my home energy rebates guide before you buy equipment.

Electricity is one of several bills, along with water, sewer and trash. I cover the City's water billing in my water rates guide. I am a REALTOR, not an energy advisor, so call SDG&E if you want help choosing a plan.

My advice for San Diego buyers and homeowners

Ask the seller which plan the home is on and for 12 months of bills.
Review your plan within your first month, since you can change only once every 12 months.
Check the time-of-use periods against when your household actually uses power.
If you have solar or an EV, look at the plans built for them.
Use SDG&E's own rate tables for current prices, not a blog.

A note on advice

I am a REALTOR®, not a lender, attorney, tax professional or financial advisor, so this guide is general information. Your lender can tell you what you qualify for, and a CPA or attorney can answer tax and legal questions.

Call or text me at (619) 402-4614 or send me a message.

Call or text (619) 402-4614 Contact Trevor Landress

Related guides

Frequently asked questions

What are the on-peak hours on SDG&E time-of-use plans?

On-peak is 4 p.m. to 9 p.m., when demand and prices are highest.

What is the difference between TOU-DR1 and TOU-DR2?

TOU-DR1 has three periods and suits customers who can use energy during super off-peak hours, while TOU-DR2 has two periods and is a simpler plan.

How often can I switch SDG&E plans?

Most plans require a 12-month commitment and can be changed once every 12 months, through My Energy Center.

What is the baseline allowance?

It is the usage level on which prices are based. Tier 1 covers usage up to 130% of baseline, and Tier 2 covers usage above that.

What is Reduce Your Use?

It is a set of plans with up to 18 event days per year and a $1.16 per kilowatt-hour adder from 4 p.m. to 9 p.m. on those days.

About the author

Trevor Landress is a San Diego REALTOR® with Coldwell Banker West (DRE# 02126901). He was born and raised in San Diego and has been licensed since 2021.

Trevor helps homeowners sell, guides first-time buyers through the home buying process and assists investors with their next acquisition. His work includes negotiating offers, analyzing market trends, building pricing strategies and running marketing campaigns for his listings.

He serves clients across San Diego County, from coastal communities like La Jolla, Del Mar and Carlsbad to neighborhoods inland.

Trevor is part of the Campbell Group, a three-generation real estate team, and he and the Campbell Group consistently rank as a top producing team at Coldwell Banker West each month. He writes these guides to help San Diego buyers and sellers navigate an ever-changing market. To talk through your plans, call or text (619) 402-4614 or contact Trevor Landress.

How I help San Diego home buyers

I help buyers sort out their budget, understand their loan options with a lender, search for homes, write and negotiate offers, keep track of inspection and contingency deadlines and stay organized through closing.

How I help San Diego home sellers

I help sellers price their home, prepare it for the market, market it to buyers, review and negotiate offers and manage the steps from an accepted offer to closing.