Long Island Power Authority (LIPA) is proposing a new rate structure that would reward customers who shift most of their usage to off-peak periods.

The time-of-day structure would impose a higher rate during the peak hours of 3 p.m. to 7 p.m. on weekdays and give discounts to those who move their usage off those peak times.

"We think you'll save money," says LIPA CEO Tom Falcone "We think more than 80% of customers will be better off on the time-of-day rate even if they don't make any changes to their behaviors. But give it a try, see for yourself and if you want to opt out, you can."

LIPA's flat rate is around 25 cents per kilowatt hour. Under the proposed rate, the peak price would increase to around 38 cents.

The off-peak price would drop to 20 cents.

Bob Goida, of Hicksville, is part of a LIPA pilot program to try out the new rate.

He says he's saving some money by using less electricity during peak hours.

"You get used to shifting out of that four-hour period," Goida says. "I do a lot of stuff in the morning and then after 7 p.m."

LIPA says most customers will save $3.50 a month under the new rates.

Some electricity users aren't sure they can work with the off-peak hours.

"What about schoolwork? Computer usages? Cooking dinner and so forth?," says Joanna Nicolaou, of East Meadow. "This is the time that's very crucial for family life."

The power company says it is offering a flat rate for anyone who does not want to use the new plan but says customers must opt out of the time-of-day program.

The company also says if you end up with a higher bill after a year then you can receive a refund.

The LIPA board is set to vote on the proposal in March and if it's approved it would go into effect in February 2024.

There is also another option for an even lower rate during overnight hours. Those who choose that will get an even higher peak rate.