SRP Time-of-Use Rates 2026: The Complete Guide for Solar & Battery Owners

Salt River Project serves over 1 million customers across the East Valley — Mesa, Tempe, Scottsdale, Gilbert, Chandler, and beyond. If you're on SRP and considering solar or batteries, understanding their rate plans is critical. SRP's rate structure is different from APS, and the savings strategies change accordingly.

SRP vs APS: The Key Differences

Before diving into rates, here's what makes SRP unique:

• Demand charges: Most SRP plans include a demand charge based on your highest single hour of usage during on-peak periods — APS doesn't do this
• No net metering: SRP replaced net metering with their Customer Generation Plan, which has higher fixed charges for solar customers
• Different peak hours: SRP peak is typically 2-8pm (vs APS 4-7pm), which changes your battery strategy
• Seasonal rates: Summer rates (May-Oct) are significantly higher, similar to APS

SRP E-27: The Standard TOU Plan

E-27 is SRP's most popular residential TOU plan for customers without solar. It has both energy charges and demand charges.

Note: Exact rates vary by billing cycle. Check your SRP bill or mysrp.com for current rates.

Understanding Demand Charges (This Is the Big One)

The demand charge is what makes SRP different — and more complex — than APS. Here's how it works:

• SRP looks at your highest single hour of electricity usage during on-peak periods (2-8pm weekdays)
• If your AC pulls 8 kW during one hot afternoon, you pay ~$14.50 × 8 = $116 in demand charges for the entire month
• That one peak hour defines your demand charge for the whole billing cycle
• This is why batteries are even more valuable on SRP than APS — they shave your peak demand

SRP Customer Generation Plan (E-27 CGP): For Solar Owners

If you install solar, SRP requires you to move to the Customer Generation Plan. This plan has:

• Higher monthly service charge: ~$32/month base fee (vs ~$20 on standard E-27)
• Lower energy credits for exports: Excess solar sent to the grid earns roughly $0.03-$0.04/kWh — much less than what you pay for grid power
• Same demand charges: The demand charge structure still applies
• Grid access charge: An additional per-kW charge based on your solar system size

This is why self-consumption is king on SRP. Every kWh you use from your own solar panels avoids paying $0.07-$0.11/kWh and reduces your demand charge. Exporting to the grid only gets you $0.03-$0.04/kWh — a terrible trade.

Strategy 1: Battery Peak Shaving (Biggest Win on SRP)

Because of SRP's demand charges, batteries deliver more value on SRP than APS. The strategy:

• Charge battery from solar during the day (free energy)
• Discharge during 2-8pm to reduce your peak draw from the grid
• Target: Keep grid draw under 5 kW during on-peak — let the battery handle spikes
• Savings: Reducing peak demand from 10 kW to 5 kW saves ~$72/month in summer demand charges

Combined with energy arbitrage (avoiding on-peak energy rates), a well-sized battery on SRP can save $100-$150/month in summer. Use our Battery Calculator to estimate your specific savings.

Strategy 2: Solar Self-Consumption (Maximize Every Panel)

With SRP's low export rates, oversizing your solar system doesn't help much. Instead, right-size your system to match your daytime usage:

• Pool pump + AC: Run your pool pump during solar hours (9am-2pm) so solar covers it
• Pre-cool your home: Set your thermostat to 73°F at 1pm, then let it drift to 78°F during on-peak (2-8pm)
• EV charging: Charge your EV during the day while solar is producing
• Avoid exporting: Use a smart inverter or battery to soak up excess production

Strategy 3: Load Shifting (Free, No Equipment)

Even without solar or a battery, you can save on SRP by shifting high-draw activities away from on-peak (2-8pm weekdays):

• Run dishwasher, laundry, and dryer after 8pm or on weekends
• Pre-cool your home before 2pm — don't run AC hard from 2-8pm
• Use a programmable thermostat with a pre-cool schedule
• Most important: Avoid running multiple high-draw appliances simultaneously during peak — that spikes your demand charge

SRP vs APS: Which Is Better for Solar?

Bottom Line for SRP Customers

SRP's rate structure makes solar slightly less attractive than APS because of higher fixed fees and lower export rates. But batteries are more valuable on SRP because of demand charges. The winning formula:

• Right-size your solar — don't oversize, since exports earn almost nothing
• Add a battery — demand charge savings alone can justify the investment
• Maximize self-consumption — every kWh you use yourself avoids both energy and demand charges
• Pre-cool aggressively — this is the single best free strategy for SRP customers

Ready to see your numbers? Try our Solar ROI Calculator for a personalized estimate, or check the Battery Calculator to see how much a battery saves on SRP demand charges.