# How is your electricity bill calculated?



## OntarioMan (Feb 11, 2007)

To make things simple, I'm charged for electricity as follows :

- per kwh ($x for the first so many kwh used) 
- per kwh ($y for the remainder kwh used)
- fixed charge(s) - do not vary regardless of amount consumed
- variable charge(s) - vary dependant on amount consumed

$y is higher than $x, i.e. there are no "bulk discounts", its more like a penalty

What is somewhat discouraging, is that $x and $y represent maybe only 40% of my electricity bill - the remainder is in fixed and variable rate charges. $x and $y are actually quite low rates - I think I pay $0.06 kwh for electricity on avg.

Why is this discouraging? Because it is a system which in no way encourages conservation of electricity. I have had folks ask me why I even bother with all my "electricity conservation" effort and expense - when it will save me only small amounts of money. I don't have an answer other than it makes me feel better knowing I use less.

Another disturbing trend is the increases in fixed charges. Whenever the "powers that be" raise the fixed charges, their comments are always the same : "yes, we're raising the cost of electricity, but you have one of the cheapest rates anywhere". Technically they are correct, since the rates are very low - its the overall bill which increases. It the old "liars figure and figures lie" cliche.

If I were to use only 50% of the electricity compared to the next guy, but was paying 90% of what that same next guy was paying - the only folks I'm helping are the folks that profit from selling electricity. Its far more profitable to sell 50 apples for $90 dollars than it is to sell 100 apples for $100.

Regardless of where you are, I think if the government is at all serious about reducing our energy needs - they need to put programs in place which raise the price of electricity and get rid of all fixed charges. If you use 0, you should pay $0.

I don't know exact figures off-hand, the above is a generalization in an attempt to make my point clear.

.


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## unioncreek (Jun 18, 2002)

I think we pay $.07.1 per kwh, we're lock in at that price for another 10 years. 

Bobg


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## WisJim (Jan 14, 2004)

I think that it is really worse than what OntarioMan says--if you are a really big user of electricity, it gets cheaper the more that you use. If we use no electricity at all our bill is still nearly $10, because of meter reading fee, etc.


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## Gary in ohio (May 11, 2002)

You bill is only partially base on $/kw. Most bill have a base charge just to have electric service, then you have delivery rates and the you have usage rates. someplace will call in generate rate.


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## Kevingr (Mar 10, 2006)

Mine is broken down like this:
- per kwh ($x for the first so many kwh used) 
- power cost adjustment of .0016 for every KWH used.
- fixed charge(s) - do not vary regardless of amount consumed plus taxes

I pay .087kwh (Oct-Apr) during the winter months and .101kwh (May-Sept) during the summer months. The fixed charges are $14.00 plus tax.This last month I used 1451 kwh.


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## mdharris68 (Sep 28, 2006)

My last bill was 2500 kw hours for 138.92 which is equal to 0.055568 cents per kw hour. My only fixed charge is the customer charge.

Here is how it breaks down
customer charge 7.50
energy charge 88.31
fuel charge 32.80
property tax surcharge .97 Credit
transmission charge 10.55
environmental charge .73
franchise fee .00 
current total 138.92


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## StaceyS (Nov 19, 2003)

My last bill was $15.66 - $4 of which I pay to be a customer! That's almost 25% of my bill. I know I shouldn't complain because my bill is so small (1 person - 2 bedroom apartment), but it bothers me that I have to pay this. My gas bill includes $8.50/mo for the "privilage" of being their customer.


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## Karenrbw (Aug 17, 2004)

Wait a minute - we were just told that we had some of the cheapest electric rates anywhere!!!!!


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## Jim-mi (May 15, 2002)

"We have to charge that fee to to help maintain the lines"
"Actually we should charge more"

If all the subsidy's were removed you folks would go into cardiac arrest for what your electric would cost per KWH.

Gathering that subsidy info would\will not be easy because thats info that *They* don't want *Joe Public* to know about.


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## KindredCanuck (Apr 14, 2003)

by Hydro Quebec.. lol


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## Gary in ohio (May 11, 2002)

Karenrbw said:


> Wait a minute - we were just told that we had some of the cheapest electric rates anywhere!!!!!


Cheapest rates do not mean lowest bill. Rate is how much you pay per kw/hr. THe fixed/delivery cost might be sky high.


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## OntarioMan (Feb 11, 2007)

Yup, they (the powers that be) really like to focus on the "rate" and always seem to mysteriously forget about the fixed charges - and its the fixed charges that seem to be rising - at least for me.

After reading this thread, I think some of the others have it a bit better. $4, $7, I know I'm way above those, probably closer to $40.



Gary in ohio said:


> Cheapest rates do not mean lowest bill. Rate is how much you pay per kw/hr. THe fixed/delivery cost might be sky high.


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## OntarioMan (Feb 11, 2007)

And I'll bet its as confusing as ours is here in Ontario.



KindredCanuck said:


> by Hydro Quebec.. lol


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## jgbndaudio (Jan 26, 2005)

Hello,

I live in the Orange and Rockland service area here in NY.

For delivery:

Service charge (fixed) = $8.54
First 250 KWH @ $.05.57 each = $13.89
Next 222 KWH @ $.04.38 each = $9.73
Energy cost adjustment (varies) = $ -.05
SBC/RPS (varies) = $.93
Gov. surcharge delivery $.68

Sub total $33.72

Here's for purchasing the KWH's

Mkt price elec supply 472 KWH @ $.10907 = $51.48
mkt supply chg adjusment $ -.57
Gov. surcharge commodity $ .02

Sub total $50.93

Total 84.65 or an avg. of $.179 per KWH

This was the highest electric bill we've had in the 4 years we've lived in this house as far as the number of KWH's and total price.

It says the Avg. consumer used 740 kwh's or roughly $132 worth. 

Glad I'm below Average  :dance: 

Scotty


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## KindredCanuck (Apr 14, 2003)

OntarioMan said:


> And I'll bet its as confusing as ours is here in Ontario.


I gave up and just stayed on the budget.. thats fixed.. lol Where are You in Ont.. I'm near Hawksbury boarder


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## OntarioMan (Feb 11, 2007)

All the west on the 401, near Windsor.



KindredCanuck said:


> I gave up and just stayed on the budget.. thats fixed.. lol Where are You in Ont.. I'm near Hawksbury boarder


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## KindredCanuck (Apr 14, 2003)

Yup thats west.. I was just up in Niagra Falls for New Years.. loved the fireworks..


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## Guest (Jan 22, 2008)

I think our electric company just calls the bamk to see how much is in your account and sends you a bill for that amount.


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## DaleK (Sep 23, 2004)

OntarioMan one of my new Amish neighbours moved into a house with hydro about two years ago. First thing he did was shut it off at the pole switch and call them to disconnect it. Never came, got a bill the next month for the fixed.
Called them again, never came. Bigger bill the next month. After about 5 months of this they started hounding him, pay up or we'll disconnect. Ended up taking about 7 months of unpaid bills before they disconnected him like he asked them to in the first place.


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## Kevingr (Mar 10, 2006)

Kevingr said:


> Mine is broken down like this:
> - per kwh ($x for the first so many kwh used)
> - power cost adjustment of .0016 for every KWH used.
> - fixed charge(s) - do not vary regardless of amount consumed plus taxes
> ...



I forgot to add that my electric hot water heater is on off peak electric at .035kwh. Last month my total cost for the electricity (1451kwh) was $119.58US which works out to about .0824 cents/kwh. With the addons the bill was $144.52 making the true cost .0996 cents/kwh


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## OntarioMan (Feb 11, 2007)

Why does that not surprise me - getting things done with some/most of the utility companies is a real adventure. 



DaleK said:


> OntarioMan one of my new Amish neighbours moved into a house with hydro about two years ago. First thing he did was shut it off at the pole switch and call them to disconnect it. Never came, got a bill the next month for the fixed.
> Called them again, never came. Bigger bill the next month. After about 5 months of this they started hounding him, pay up or we'll disconnect. Ended up taking about 7 months of unpaid bills before they disconnected him like he asked them to in the first place.


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## OntarioMan (Feb 11, 2007)

After more digging/research, my situation is not near as bad as I had originally thought - although the pricing structure here is extremely confusing, and I still cannot calculate my exact bill as it relates to kwh used (I get to within 3-4%).

When the dust settles, it appears I'm paying approximately :
- $9.00 per month in fixed charges
- $0.104 per kwh (for the first 1000 kwh)
- $0.123 per kwh (for anything above 1000 kwh)


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