Dear Editor: In theory time-of-use rates seem to be a smart way to reduce wholesale costs. By reducing demand (the cost of infrastructure needed to supply energy to San Miguel Power Association) the price, which is a combination of demand and energy, is lowered. This would be equitable over the entire system. However, the system is made up of individuals who may not reap this equity. Some cannot change their usage (no demand elasticity) because of way of life, working hours, location or income. Those able to shift demand are not necessarily affected one way or another: It takes money to save money.