Dynamic Export Rate Pilot Program

A new program will allow customers to purchase energy when the price is lower and sell it back to SDG&E when the price is higher. Pre-enrollment starts now.

Dynamic Export Pricing

The Dynamic Export Rate Pilot will allow eligible customers with specific generators to shift load by purchasing energy when the price is lower, typically during (off-peak hours), and selling it back to SDG&E when the price is higher, typically during on-peak hours between 4 p.m. and 9 p.m.  

Along with compensating participating customers for exporting excess generation, the Dynamic Export Rate Pilot Program will also enhance grid reliability and reduce greenhouse gas emissions. The price of electricity is closely connected to the amount of greenhouse gas emissions. The Dynamic Export Rate allows customers the opportunity to utilize the CAISO day-ahead pricing to react and shift their load. When prices are higher, customers tend to use less electricity, which lessens the reliance on fossil fuels. 

How It Works 

Prices will be made available to the customers on an SDG&E webpage by 6 p.m. the day before the relevant prices go into effect, allowing the customers to plan and adjust their electric usage accordingly. 

Customers have a higher incentive to export during the top 150 hours (calculated as projected demand in SDG&E’s system), which is updated annually as part of SDG&Es January 1st rate changes. SDG&E will add a Generation Capacity Component (GCC) to the CAISO Day-ahead price, adding to the customer's total compensation. 

The Pilot will be implemented on January 1st, 2025, and will conclude at the end of two years.   

Potential Savings 

The chart below outlines the potential additional compensation a customer could receive by exporting during the top 150 hours. The chart outlines three different scenarios representing different generation capacities. 

  •  Small Commercial customers: Scenario 1 is a 10 kW generator, Scenario 2 is a 20 kW generator, and Scenario 3 is a 30 kW generator  
  • Medium Commercial customers, Scenario 1 is a 60 kW generator, Scenario 2 is a 120 kW generator, and Scenario 3 is a 250 kW generator
  • Large Commercial customers, Scenario 1 is a 250 kW generator, Scenario 2 is a 500 kW generator, and Scenario 3 is a 2150 kW generator   

Customer Class 

Rate 

Illustrative Annual Average

Illustrative Hourly Average

Average Compensation - Scenario 1

Average Compensation - Scenario 2

Average Compensation - Scenario 3 

Average Compensation - Scenario 1 

Average Compensation - Scenario 2 

Average Compensation - Scenario 3 

Small Commercial
(10kW, 20kW & 30kW) 

TOU-A 

$356.05 

$794.63 

$1,239.35 

$2.37 

$5.30 

$8.26 

Medium Commercial 
(60kW, 120kW & 250kW) 

AL-TOU, EVHP 

$1,914.89 

$4,904.70 

$11,703.46 

$12.77 

$32.70 

$78.02 

Large Commercial 
(250kW, 500kW & 2,150kW) 

AL-TOU, EVHP 

$5,756.84 

$16,406.66 

$100,211.97 

$38.38 

$109.38 

$668.08 

 

NOTES:

  • Battery constraints, ramping constraints, warranty constraints and runtime constraints for various generation types are not considered.
  • This chart is based on the top 150 system hours in 2023.
  • Compensation amounts are based 3/1/2024 rates, and will need to be adjusted per rate change.

Eligibility Criteria 

The Dynamic Export Rate Pilot Program is available to customers who: 

  • Receive bundled service (both electric generation and delivery) from SDG&E  

  • Are on the EV-HP, AL-TOU, or TOU-A pricing plan

 

Customers are not eligible if they are also customers of a Community Choice Aggregator (CCA) or are participating in: 

  • Net Energy Metering (“NEM”) 

  • Solar Billing Plan 

  • Demand response programs 

  • Legacy TOU rates 

  • Conjunctive billing 

Rate Details 

After the Dynamic Export Rate Pilot Program officially launches in January 2025, SDG&E will post hourly pricing by 6 p.m. the day before relevant prices go into effect. 

Dynamic Export Rate Pilot consists of two components: California Independent System Operator (CAISO) day-ahead hourly price; and Generation Capacity Component.  

  • CAISO Day-Ahead Hourly Price: Reflect the CAISO day-ahead hourly prices. The effective CAISO day-ahead market hourly prices will be publicly available on the sdge.com website by 6 p.m. If the CAISO day-ahead hourly prices are not uploaded by SDG&E by 5 p.m. for the day-ahead market, the prior day’s CAISO day-ahead hourly prices will be the effective CAISO day-ahead hourly prices. CAISO market data posted or corrected after the above cut-off time will not be used for Dynamic Export Rate Pilot calculations and after-the-fact rate adjustments will not be made.  

  • Generation Capacity Component (GCC): The GCC is an adder based on marginal generation capacity costs only and is applied to the top 150 system peak hours. 

  Billing: The customer’s import consumption and export will be netted at the 15-minute kWh interval to determine if the customer will be billed electricity consumption for imports under the otherwise applicable rate schedule the customer is taking electric service on (e.g., Schedules EV-HP, AL-TOU, or TOU-A) or be provided a bill credit for electricity export under this schedule at the kWh interval level. 

It’s easy to pre-enroll in the Dynamic Export Rate Pilot Program 

Just call the Business Care Center at 800-336-7343, and a representative will take you through the pre-enrollment process. 

Frequently Asked Questions

If you enroll, your account will continue to be subject to the terms and provisions of your rate schedule (EV-HP, AL-TOU, or TOU-A). 

If you already have a Rule 21 agreement to export, simply call the Business Care Center: 800-336-7343.    

If you already have a Rule 21 agreement that does not include the ability to export, you will need to submit a new application.  

If you do not already have a Rule 21 agreement with the ability to export, you first need to apply for Rule 21 interconnection. See more information for Rule 21.

After enrollment, you will see an additional line item on your bill showing any customer credit amount. You can also call the Business Care Center at 800-336-7343 to request detailed information on your hourly usage and pricing. 

The Dynamic Export Rate Pilot offers customers an additional rate option to help their energy management activities while helping to support grid reliability and reduce greenhouse gas emissions.  

Yes, the limit will depend on your  generator capacity and Rule 21 agreement.  

There are no restrictions to the type of generator so long as there is a Rule 21 interconnection agreement to export back to the grid. Generators include electric vehicles, batteries, batteries + storage, hydroelectrical turbines, steam turbines, backup generators, combustion turbines, etc. 

Yes, however, they would still need to qualify for Rule 21 and forfeit their existing NEM/SBT compensation.