Tesla Owner in Alaska Tries to Save Money with Off-Peak Charging… Gets Hit with an $8,000 Upgrade Threat Instead

Tesla Owner in Alaska Tries to Save Money with Off-Peak Charging… Gets Hit with an $8,000 Upgrade Threat Instead
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After owning our 2026 Model Y AWD Juniper for just a few months, we have finally enrolled in the Off-Peak charging program offered by our electric company.

So what is an Off-Peak Charging Program

Off-peak charging programs for Tesla Model Y (including the 2026 Juniper) owners with a home Level 2 charger are typically Time-of-Use (TOU) or EV-specific rate plans offered by your local electricity utility. These plans provide significantly lower rates during off-peak hours (usually overnight, such as midnight to 6-7 AM, or broader windows like 8 PM to noon) to encourage shifting EV charging away from peak demand periods.

There’s no universal Tesla-specific program; it’s tied to your utility provider, and availability/savings vary by location. Many utilities offer dedicated EV TOU rates or rebates/credits for off-peak charging, which can cut your home charging costs by 30-50% or more compared to standard rates.

How It Works with Your Tesla

  • Use the Tesla app or the car’s touchscreen to schedule charging (via “Scheduled Charging” or “Departure Time”) so it only runs during your utility’s off-peak window.
  • This pairs perfectly with a Level 2 charger (such as a Tesla Wall Connector) for overnight full charges at the lowest rates.

Common Examples of Utility Off-Peak EV Programs for Comparison

  • PG&E (California): EV2-A or EV-TOU-5 plans with super-low rates midnight-3 PM daily; ideal for home charging.
  • Southern California Edison (SCE): TOU-D-PRIME with lowest rates 8 AM-midnight (off-peak focus overnight).
  • National Grid (Northeast, e.g., Massachusetts): Off-Peak Charging Program offers $0.03- $0.05/kWh rebates for off-peak home charging; compatible with all Tesla models.
  • SDG&E (California): EV-TOU-5 with discounted overnight rates.
  • Other utilities (e.g., BGE, Central Hudson, Until): Offer separate EV TOU rates or credits for off-peak periods, often requiring enrollment and proof of EV ownership.

To find yours: Check your utility’s website for “EV rates,” “TOU plans,” or “electric vehicle programs,” or use Tesla’s in-app utility rate setup for optimization suggestions. Many also offer enrollment incentives or managed charging apps for extra credits. Savings add up fast, a full Model Y charge could drop to $5-10 off-peak vs. $15+ on standard rates!

I have attached the correspondence and next steps:

Thank you for your interest in MEA’s EV Off-Peak Time of Use Program. We are writing to inform you about an important update regarding your application. A review of energy usage at your service location has identified that your current service equipment is overloaded. This condition poses a risk of damage to MEA property and, most importantly, could compromise your safety and the safety of others.

To address this issue and ensure you can safely and reliably benefit from the off-peak EV charging program, changes are necessary, which include either reducing your demand consumption levels or, alternatively, requesting MEA to perform upgrades to your service equipment to handle the additional demand.

As noted in the off-peak EV charging program application, service modifications may be required for program participants and could result in additional costs for the member. However, with your current demand consumption levels, these changes are necessary regardless of whether you continue participating in the off-peak EV charging program, so that MEA can ensure your service is safeguarded and enable us to continue meeting your energy needs.

Moreover, you may be required to pay for any damaged equipment, and service may be disconnected if the service conditions are unsafe.

To help provide our members with a solution that best meets your needs, two options are available as discussed below. Don’t hesitate to get in touch with MEA within 30 days of the date of this letter to discuss next steps. We know you may have questions, and we are available to help you navigate options.

Option 1: Level 2 EV Charger Output Setting Adjustment

If you are using a level 2 EV charger, you may have the option to adjust the charge output setting on your EV charger to a lower amperage draw, which would bring it into compliance with our system capacities and would still qualify for the reduced off-peak rate under our Off-Peak EV Charging Time of Use Rate program. Although this would likely result in a slightly longer charge time, this would likely be a far more cost-effective option than having MEA construct a service upgrade, which, per the MEA tariff, would necessarily have to be funded at your expense (subject to a 25% MEA contribution).

Fortunately, most level 2 chargers offer the feature of reducing the demand amperage when charging an EV.

Option 1 Next Steps

  1. Determine if your charger output amperage can be adjusted: Follow your manufacturer’s instructions to determine how to safely adjust the output amperage on your charger.
  2. Complete the Letter of Agreement for Time of Use Program – Level 2 Charger Output Modification: Please follow the link to complete and submit this form, which details your agreement to modify your charger output amperage to meet the requirements that qualify you for the Time of Use Off-Peak Charging Program.
  3. Adjust charging amperage: Each member will require a unique adjustment based on system capacity to your service address. We have determined that you will need to adjust your charger output amperage to the following setting: Reduce charger output setting by _______ Amps.
  4. Submit a photo of the updated charger output setting. Send your photo to electricvehicles@mea.coop. Please note that we may verify proof of the charger output setting change.

 Option 2: Service Upgrade

Service Upgrade Details. As touched on above, to continue safely providing service to you at current demand levels, one solution may be to request that MEA perform a service equipment upgrade. As outlined in section 11.03 of MEA’s tariff:

At the consumer’s request, the Association will upgrade the consumer’s existing primary and/or secondary service to the point of delivery if required by the consumer’s additional load. The Association will contribute 25 percent of the estimated cost of the service upgrade. Service upgrades may include, but are not limited to, pole upgrades, anchor upgrades, conductor replacements, transformer replacements, labor, and trenching.

The Association may require the consumer requesting the upgrade to pay the reimbursable portion of the estimated costs in advance of construction. If the actual costs exceed the estimated costs, the Association may require the consumer to pay an additional amount equal to 75% of the excess; however, the amount of excess upon which this additional obligation is based shall not exceed ten percent (10%) of the written cost estimate. If the actual costs are less than the estimated costs, 75% of the difference will be refunded.

If you are unable to use Option 1 by reducing your level 2 charger capability, you must use Option 2 by initiating a service upgrade. Please be advised that there is an initial, upfront fee that covers the administrative and processing costs associated with initiating a service upgrade, and additional costs will be assessed for the actual construction. The total cost of the service upgrade will be determined once the design is complete.

To proceed, you will need to complete the Service Modification Form, which is available on our website at https://www.mea.coop/account-services/construction-questionnaire. The form must be submitted online to initiate the modification process.

Option 2 Next Steps

  1. Submit the Service Modification Form: Please fill out the Service Modification Form on our website at https://www.mea.coop/account-services/construction-questionnaire. The fee will be processed once the form is submitted.
  2. Engineer Contact: Once the form has been submitted, one of our engineering technicians will reach out to you directly to discuss the details of the modification and coordinate next steps. This will ensure that the process is smooth and that all your questions are addressed.
  3. Review Cost Estimate: Our technicians will review an estimate of costs associated with the service change to provide safe, reliable energy to your home.

 

We appreciate your understanding and cooperation as we work to ensure your safety and enhance your service experience. Your participation in the Off-Peak EV Charging Time-of-Use Rate Program is important to us, and we look forward to assisting you with the necessary arrangements. We are here to help you navigate through this process, so please do not hesitate to call MEA at 907-761-9355.

So, what did we decide to do?

Well… it was a pretty easy decision when the electric company told us we must do Option 1 or else. Or else, meaning, we are going to charge you about eight grand to upgrade your equipment and the transformer in the neighborhood.

We complied, and they almost immediately sent us this email:

We are pleased to inform you that your application has been processed and approved for MEA’s Time-of-Use (TOU) Rate Program.  A service order has been placed to replace your existing meter with a Time-of-Use-capable reporting meter at no cost to you.  This should occur in the next 60 days once additional TOU-capable meter inventory is received.  Once your meter is exchanged, you will be able to take advantage of the discounted 500 kWh-per-month rate between 11 pm and 6 am.  

Please don’t hesitate to reach out if you have any questions.

Why does it feel like we were strong-armed into this?

As I have written many times, they do things differently in Alaska. By the way, our infrastructure includes just about everything from road maintenance, internet service, grocery delivery (everything must come by barge or plane from the Lower 48, and more.

We will keep you updated.

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