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Understanding Your SCE Bill: A Southern California Homeowner's Guide to Solar

7 min read

Southern California Edison (SCE) serves over 5 million customer accounts across Southern California. If you're one of them, you've probably noticed your bill creeping up year after year. Let's decode what's happening and how solar changes the equation.

How SCE Structures Your Bill

SCE uses a combination of tiered rates and Time-of-Use (TOU) pricing. Most residential customers are on the TOU-D-4-9PM or TOU-D-5-8PM plan. Here's what that means:

  • Off-peak hours — Lower rates during overnight hours and mid-day (when solar is producing the most).
  • Peak hours (4–9 PM or 5–8 PM) — Premium rates when demand is highest. This is when you pay the most per kWh.
  • Baseline allowance — SCE gives you a certain kWh allowance at a lower rate. Go over it, and the price per kWh jumps.

SCE Rates in 2026

SCE's average residential rate is around $0.36–$0.42 per kWh, depending on your plan and usage. Peak TOU rates can exceed $0.55 per kWh. For a family using 1,000 kWh per month, that translates to a bill of $360–$420.

SCE has filed for additional rate increases with the CPUC, so these numbers will only go up.

Why Solar Is Ideal for SCE Customers

Southern California has some of the best solar irradiance in the country. SCE territory — from the Inland Empire to Orange County to the San Gabriel Valley — gets 270+ sunny days per year. That means:

  • More kWh produced per panel compared to Northern California or other states
  • Faster system payback (typically 5–6 years)
  • Higher lifetime savings due to the combination of great sun and high rates

Solar + Battery: The SCE Power Move

Under NEM 3.0, pairing solar with a battery is especially smart for SCE customers. Your solar panels produce the most energy mid-day when TOU rates are lower. A battery stores that energy and releases it during peak hours (4–9 PM) when SCE charges the most. You effectively sell high instead of selling low.

What SCE Customers Can Save

A typical SCE household switching to solar can expect:

  • 80–95% reduction in annual electricity costs
  • $3,000–$4,500 in annual savings
  • System payback in 5–6 years
  • 25-year savings of $75,000–$112,000

Ready to see your personalized savings? Try our savings calculator or get a free quote today.

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