If you live in Southern Nevada, get ready for a major change in your power bill.
On September 16, 2025, the Public Utilities Commission of Nevada (PUCN) approved a new billing system for NV Energy’s 2.4 million customers.
The change kicks in April 16, 2026, and it makes Nevada the first state where an investor-owned utility will force all households to pay “demand charges.”
That may sound like inside-baseball utility talk, but it’s not.
It means your bill won’t just depend on how much electricity you use each month.
It will also depend on your highest 15-minute burst of power on any given day.
NV Energy Will Bill You by the “Worst Minute”
NV Energy will use your smart meter to watch how much electricity you use in 15-minute chunks.
Whatever your biggest spike is each day – maybe when the air conditioning, washer, and oven are all running at once – becomes your “demand.”
That number gets multiplied by four to create an hourly figure. Then NV Energy charges you about 19 cents per kilowatt for it.
Do this every day, add it up, and you’ve got a new “daily demand” line on your bill.
For example, say you hit 8 kW in one short burst. That gets turned into 32 kW and costs about $5.76 just for that day.
Over a month, that can mean an extra $20–30 on top of your regular bill.
“Bills Won’t Go Up”
The company claims this isn’t really a rate hike, just a new structure.
They point out that the per-kilowatt-hour rate is being lowered, and the basic service fee drops slightly to about $18 a month.
NV Energy estimates the average household will see a demand charge of about $20 a month.
They say this plan will help families save if they can avoid using lots of power all at once.
It’s supposed to ease stress on the grid during the hottest summer evenings, especially with more electric cars and data centers coming online.
Critics See Higher Bills and Confusion
Consumer advocates and solar groups aren’t buying it. They warn many households could see their bills rise by $20–$38 a month.
Families who cook dinner, do laundry, and cool their homes after work may get hit hardest.
Solar owners – over 144,000 Nevada households – could also lose ground.
Even if their panels cover most of their total use, they’ll still get billed for demand spikes.
Groups like the Nevada Solar Association call this “unjust” and say it hurts the state’s push for clean energy.
At public hearings, over 100 Nevadans lined up to oppose the plan.
AARP Nevada warned it would punish seniors on fixed incomes. Make the Road Nevada said it’s unfair to working families who can’t shift their usage to daytime hours.
Northern vs. Southern Nevada
Northern Nevada customers won’t face this demand charge yet, but they’re not off the hook.
Starting October 1, new solar owners there will see their credits calculated every 15 minutes instead of monthly.
Critics say that change alone could cut solar savings by 20 to 25 percent.
Southern Nevada solar customers keep monthly netting for now, but they’ll still get slapped with demand charges.
“Cartel” Utility Accused of Punishing Working Families
Many conservatives see this as another example of a monopoly utility pushing complicated schemes instead of lowering costs.
NV Energy is owned by Warren Buffett’s Berkshire Hathaway.
As some Nevadans put it at hearings, the company has no competition and little incentive to cut waste.
Republicans often warn about these kinds of policies.
They argue that so-called “green” mandates and subsidies distort the market, leaving everyday families stuck with the bill.
Instead of gimmicks like demand charges, conservatives suggest more competition, more energy independence, and even considering nuclear or clean coal to keep costs stable.
FOX5 Vegas quoted residents worried about “families who cannot afford it” while inflation already eats into paychecks.
Letters to the Las Vegas Review-Journal blasted NV Energy as a “cartel” that cares more about shareholders than customers.
Following California’s Bad Example
For now, NV Energy points out that our rates are still about 22 percent lower than the U.S. average and nearly 60 percent lower than California’s.
That’s true, but critics say it’s no excuse for saddling Nevadans with a confusing billing system that punishes families who happen to cook dinner at the wrong time.
California utilities have tried time-of-use rates, which raise prices during peak hours – but don’t penalize single 15-minute spikes.
Many experts say that’s easier to understand and manage.
Monopoly Power Is the Real Problem
Whether your bill goes up or down will depend on how you live.
If you can spread out your power use, you may be okay.
But if you’re like most Nevada families – working all day and coming home in the evening to cook, clean, and cool the house – you may get stuck paying more.
Conservatives argue the real problem is letting one monopoly control the entire state’s power market.
Until Nevada allows real competition, families will keep paying the price for experiments dreamed up in corporate boardrooms and rubber-stamped by regulators in Carson City.
For now, all eyes are on October 1, when NV Energy must submit a detailed impact report.
That will give Nevadans a clearer picture of what this “new structure” really means for their wallets.
The opinions expressed by contributors are their own and do not necessarily represent the views of Nevada News & Views. This article was written with the assistance of AI. Please verify information and consult additional sources as needed.
