Nevada Commercial Electricity Rates for Cannabis Facilities: NV Energy Classes, TOU Peaks, and EIA Benchmarks

Nevada vs. the U.S. average

Sector	Nevada, June 2026	U.S. average, June 2026	Nevada vs. U.S.
Commercial	9.83 cents/kWh	14.19 cents/kWh	-4.36 cents, about 31 percent lower
Industrial	10.16 cents/kWh	not in state file

Source: EIA Electric Power Monthly, Table 5.6.A [eia-epm-5-6-a].

The EIA figure blends every commercial customer in the state on bundled NV Energy and rural utility service. Use it to sanity-check a bill, not to budget a grow. The 0.33 cent gap between Nevada commercial and industrial averages is small compared to demand-charge-driven spreads on LGS schedules [eia-epm-5-6-a].

NV Energy southern commercial classes (Nevada Power)

Effective January 1, 2026 [nve-south-commercial-rates]:

Schedule	Threshold	Demand billing	Notes
GS	Up to 3,500 kWh/month	None	Small retail, small labs
LGS-1	Over 3,500 kWh; demand up to 299 kW	$4.60/kW facilities + $5.48/kW demand	Most mid-size grows start here
LGS-2	Billing demand 300 kW to 999 kW	Per tariff	Multi-room flowering
LGS-3	Billing demand 1,000 kW+	Per tariff	Campus-scale indoor
OGS-TOU / OLGS-TOU / LGS-3P	Optional TOU variants	Demand in summer on-peak	June 1 to Sept 30, 3:01 to 9 p.m.

Source: Nevada Power commercial rate insert [nve-south-commercial-rates]. Confirm current dollars in the full tariff before quoting.

No ratchet is stated in the rate summary; check the tariff for minimum billing demand provisions [nve-south-commercial-rates].

NV Energy northern commercial classes (Sierra Pacific)

Sierra Pacific uses GS-1 through GS-4 with breakpoints at 50 kW, 500 kW, and 1,000 kW and separate facilities and demand charges [nve-south-commercial-rates]. The 2026 Q2 northern rate summary was partially extracted in the state data file; open the full Sierra Pacific insert for current $/kW [nve-north-commercial-rates].

Region	First demand threshold	Cannabis note
Southern	3,500 kWh then kW-based LGS	Las Vegas metro concentration
Northern	50 kW on GS-2	Reno processors hit demand sooner

Bundled service benchmark (no retail SOS)

Unlike Maryland Standard Offer Service or Ohio market offers, Nevada has no competitive default supply price for general commercial customers after Question 3 failed in 2018 [nv-independent-q3-2018]. The benchmark is bundled NV Energy service, including:

• Base energy charges
• Deferred Energy Accounting Adjustment (DEAA) true-ups for fuel and purchased power [nrs-704b]
• Delivery demand and facilities charges on LGS schedules [nve-south-commercial-rates]

704B eligible customers (1 MW+ average load) on Distribution Only Service compare provider energy plus delivery-only tariffs against historical bundled cost [nrs-704b]. See the 704B guide.

ISO and capacity context

Nevada is outside any ISO/RTO [nrs-704b]. NV Energy participates in the CAISO Western Energy Imbalance Market and has committed to the Extended Day-Ahead Market, but there is no organized capacity market for customers to shop [nrs-704b].

Implications for cannabis operators:

• Supplier quotes from other states do not apply to bundled accounts
• Capacity cost is embedded in regulated bundled rates and DEAA mechanics
• AB 452 (2025) directs PUCN to study fuel-cost sharing with a March 1, 2027 filing; it does not create retail choice [nrs-704b]

Seasonality and climate

Nevada averages 2,166 cooling degree days and 3,452 heating degree days statewide [noaa-cag-nevada]. Las Vegas exceeds the statewide CDD figure. Indoor grows run chillers long hours; northern sites add winter heat [noaa-cag-nevada].

Optional TOU schedules align expensive demand hours with expensive cooling hours (3:01 to 9 p.m., June through September) [nve-south-commercial-rates]. July and August commonly set both peak kW and highest monthly bills for Clark County cultivation.

How to read a Nevada commercial bill

1. Identify Nevada Power vs. Sierra Pacific on the bill header [pucn-electric].
2. Find the rate schedule (GS, LGS-1, TOU variant, etc.) [nve-south-commercial-rates].
3. Separate energy charges (including DEAA lines) from demand and facilities charges [nve-south-commercial-rates].
4. Divide total dollars by kWh for an all-in cents/kWh figure; compare to 9.83 EIA average [eia-epm-5-6-a].
5. For LGS accounts, divide demand line items by billing demand kW and compare to tariff [nve-south-commercial-rates].
6. Note whether TOU on-peak hours drove the billing demand [nve-south-commercial-rates].

The demand charge estimator and state rate comparison tool turn these benchmarks into facility-specific estimates. The 704B and optimization guide covers the rare exit path.

Industrial vs. commercial for cannabis load shape

Nevada industrial customers averaged 10.16 cents/kWh against 9.83 cents commercial in June 2026 [eia-epm-5-6-a]. The narrow spread reflects bundled pricing for large accounts still on NV Energy rather than a competitive industrial supply market. Cultivation facilities classified as commercial delivery customers pay LGS demand charges even when load factor resembles industrial plants [nve-south-commercial-rates].

Rural cooperatives and public districts

NV Energy covers most cannabis load, but rural cooperatives and public districts serve scattered accounts the PUCN may not rate-regulate like the investor-owned utilities [pucn-electric]. Confirm territory before applying southern LGS tables to a rural grow.

PowerShift programs and effective rates

Efficiency and storage incentives reduce net cost but do not change the tariff structure [nve-south-commercial-rates]. Pair rebate projects with TOU modeling so kWh savings do not increase on-peak kW.

Cannabis facility type and typical class placement

Facility type	Active licenses (CCB 09/01/2026)	Typical southern schedule	Bill driver
Cultivation	103	LGS-1 to LGS-3	Summer peak kW + long cooling season [ccb-active-license-list] [noaa-cag-nevada]
Production	82	LGS-1 to LGS-2	Batch demand spikes [ccb-active-license-list]
Dispensary	107	GS to LGS-1	kWh volume crossing 3,500 kWh threshold [ccb-active-license-list]

Facility-specific guides walk load shape in detail: cultivation, extraction, dispensary, multi-site.

Worked all-in rate for LGS-1 vs LGS-2

Assume a Clark County grow with 220,000 kWh monthly use and 280 kW billing demand on LGS-1, versus the same kWh at 420 kW on LGS-2 (inputs) [nve-south-commercial-rates] [eia-epm-5-6-a].

Line	LGS-1 at 280 kW	LGS-2 at 420 kW
Energy at 9.83 cents/kWh	$21,626	$21,626
Demand at $5.48/kW proxy	$1,534/mo	Higher per tariff
Facilities at $4.60/kW proxy	$1,288/mo	Higher per tariff
All-in cents/kWh (illustrative)	~11.5	~13+

Crossing 300 kW moves the account from LGS-1 to LGS-2 with a new demand and facilities stack [nve-south-commercial-rates]. Staggering room commissioning so not every flowering room peaks the same month keeps new builds off LGS-2 until canopy warrants it [ccb-active-license-list].

Summer TOU on-peak dollars per kW

Optional southern TOU schedules bill demand during June 1 through September 30, 3:01 p.m. to 9 p.m. daily [nve-south-commercial-rates]. A grow that keeps full LED load in that window sets billing demand when chillers also run hardest [noaa-cag-nevada]. Shifting photoperiod start so lights turn off before 3 p.m., or running PowerShift-funded batteries through the window, targets the same dollars as a supplier switch would in Ohio [nve-storage-incentive] [nv-independent-q3-2018].

Northern GS-4 accounts at 1,000 kW and greater face a different facilities and demand table than southern LGS-3 even at identical peak kW [nve-north-commercial-rates]. Portfolio operators with Reno processing and Las Vegas retail need two tariff books on every benchmark spreadsheet [pucn-electric].

Question 3 and why there is no SOS line to compare

Voters approved Question 3, the Energy Choice Initiative, 72-28 in 2016, then rejected it by more than 67 percent in November 2018 [nv-independent-q3-2018]. The initiative would have required a competitive retail market by July 1, 2023. Its failure left bundled NV Energy rates as the only supply benchmark for typical commercial accounts [nv-independent-q3-2018] [nrs-704b].

Broker comparisons that cite "savings vs. utility default" from other states do not translate to Nevada without a 704B exit and impact fee analysis [nrs-704b].

Storage incentive tiers and effective $/kW reduction

PowerShift Commercial Energy Storage Incentive pays $0.32 to $0.55 per Wh for systems under 100 kW capped at 50% of cost or $50,000, and $0.40 to $0.60 per Wh for 100 kW to 1,000 kW systems with caps up to $500,000 depending on ITC eligibility [nve-storage-incentive]. TOU-rate customers receive higher tiers because the program targets summer on-peak demand shaving [nve-storage-incentive].

A 200 kW / 400 kWh battery that shaves 150 kW for three hours daily through June through September does not change the EIA 9.83 cent average, but it can reduce LGS demand line items on optional TOU schedules [nve-south-commercial-rates] [eia-epm-5-6-a]. Model gross demand savings against finance cost before treating storage as a rate substitute [nve-storage-incentive].

EIA industrial gap and cultivation load factor

Industrial customers averaged 10.16 cents/kWh against 9.83 cents commercial in June 2026, a 0.33 cent spread [eia-epm-5-6-a]. High load-factor cultivation sites still bill on commercial LGS schedules unless reclassified through a utility review [nve-south-commercial-rates]. Compare all-in cents per kWh on each bill before assuming industrial averages apply [eia-epm-5-6-a].

Tariff figures on this page were verified against sources opened on 2026-09-11. Check current NV Energy rate inserts before quoting a specific $/kW figure.