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Time-of-Day Pricing in the U.S. Electric Power Industry at the Turn of the Century

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  • William J. Hausman
  • John L. Neufeld

Abstract

Around the turn of the century, a debate occurred within the infant U.S. electric power industry on the issue of electricity rate structures. We describe those discussions and consider the views of some of the economists who first addressed the issue. Although they were ultimately unsuccessful, there were sophisticated advocates of time-of-day rates among the first engineers, utility executives, and economists to study electricity rates.

Suggested Citation

  • William J. Hausman & John L. Neufeld, 1984. "Time-of-Day Pricing in the U.S. Electric Power Industry at the Turn of the Century," RAND Journal of Economics, The RAND Corporation, vol. 15(1), pages 116-126, Spring.
    • Handle: RePEc:rje:randje:v:15:y:1984:i:spring:p:116-126
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    Cited by:

    1. Brown, David P. & Sappington, David E.M., 2018. "On the role of maximum demand charges in the presence of distributed generation resources," Energy Economics, Elsevier, vol. 69(C), pages 237-249.
    2. Defeuilley, Christophe, 2019. "Energy transition and the future(s) of the electricity sector," Utilities Policy, Elsevier, vol. 57(C), pages 97-105.
    3. Cappers, Peter & Goldman, Charles & Kathan, David, 2010. "Demand response in U.S. electricity markets: Empirical evidence," Energy, Elsevier, vol. 35(4), pages 1526-1535.
    4. Lo Piano, S. & Smith, S.T., 2022. "Energy demand and its temporal flexibility: Approaches, criticalities and ways forward," Renewable and Sustainable Energy Reviews, Elsevier, vol. 160(C).
    5. Andreas V. Stokke & Gerard L. Doorman & Torgeir Ericson, 2009. "An Analysis of a Demand Charge Electricity Grid Tariff in the Residential Sector," Discussion Papers 574, Statistics Norway, Research Department.
    6. Strong, Derek Ryan, 2017. "The Early Diffusion of Smart Meters in the US Electric Power Industry," Thesis Commons 7zprk, Center for Open Science.
    7. de Villemeur, Étienne, 2007. "Une tarification saisonnière pour le gaz? Les coûts d'un schéma de régulation rigide pour un bien stockable dont la demande varie," IDEI Working Papers 434, Institut d'Économie Industrielle (IDEI), Toulouse.
    8. Campillo, Javier & Dahlquist, Erik & Wallin, Fredrik & Vassileva, Iana, 2016. "Is real-time electricity pricing suitable for residential users without demand-side management?," Energy, Elsevier, vol. 109(C), pages 310-325.
    9. Madureira, Nuno Luís, 2010. "The European debate on rate systems in the interwar period," Energy Policy, Elsevier, vol. 38(8), pages 4703-4711, August.
    10. Seeto, Dewey & Woo, C. K. & Horowitz, Ira, 1997. "Time-of-use rates vs. Hopkinson tariffs redux: An analysis of the choice of rate structures in a regulated electricity distribution company," Energy Economics, Elsevier, vol. 19(2), pages 169-185, May.
    11. Cappers, Peter A. & Todd-Blick, Annika, 2021. "Heterogeneity in own-price residential customer demand elasticities for electricity under time-of-use rates: Evidence from a randomized-control trial in the United States," Utilities Policy, Elsevier, vol. 73(C).

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