Blame it on the Rates: Electricity Bill Charges and What it All Means

It’s as easy as flipping on the lights– electricity is quick to use and seemingly immeasurable. Or is it? When the electricity bill comes in the mail, it can be difficult to make sense of the charges and fees; it can leave you wondering, “What am I even paying for?” Let us break it down for you.

When you buy gas, you’re charged by the gallon. When you buy electricity, you’re charged by the kilowatt-hour (kWh). When you use 1000 watts for one hour, that’s a kilowatt-hour. To get kilowatt-hours, take the wattage of the device, multiply by the number of hours you use it, and divide by 1000.

Example calculation: 500watts*10hours=5000/1000=5kWh

When the electricity bill comes in the mail, it can be difficult to make sense of the charges and fees; it can leave you wondering, “What am I even paying for?” Let us break it down for you.
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