why kseb bill is high?
Ever-increasing electricity bills are a great source of frustration and economic insecurity. In 2020 alone, 27% of US households reported they had trouble paying their electric bill while also reporting to have kept their homes at an unsafe temperature. According to the US Department of Energy, heating and cooling make up about 43% of a home’s utility bills.
With the extreme changes in the climate, it seems like no matter what you do, you can’t keep up with the skyrocketing electric bills. However, don’t lose hope just yet! There is a lot you can do to lower your electric bill. For example, switching to a smart thermostat or smart AC controller for automated heating/cooling can save you a lot on bills.
Read ahead to find out why your electric bill is so high and how you can get it under control. With these handy tips, you’ll be saving big bucks in no time!
While you may think you’re doing all you can to save electricity, you may have picked up some unfavorable habits over the years that are making your electricity bill skyrocket.
Air conditioning costs account for 17% of total home electricity expenditures. In more humid climates, this figure increases to 27%. Neglecting maintenance can make this number grow exponentially. For example, if your AC filters are blocked, your air conditioner will have to work harder to provide the same level of cooling, thus consuming more electricity. Luckily, Cielo Breez smart AC controllers can help you keep track of air filter cleanliness by sending timely reminders. Moreover, regular AC maintenance will also save you expensive repairs down the line.
Here’s a handy HVAC maintenance checklist.
If you’ve been wondering why your electricity bill is so high despite limiting your usage, look at when you consume the most electricity. Electric companies charge higher rates during peak times to limit excess energy consumption. Therefore, if your electric bill is still too high, you can save your electricity bill by not using the electronics at the same time as everyone else!
In summers, peak hours are usually between noon and 6 p.m, when everyone is blasting their aircon units at full. Simply limiting usage during this time, or running your AC at a higher temperature, can make a difference and help you lower your electric bill.
Other than the aircon unit, avoid using the washing machine, vacuum, dishwasher, and other appliances at peak hours to keep your energy consumption in check.
Windows and doors are major sources of air leaks. Even when your walls are well-insulated, if the weatherstripping or caulking on your doors and windows has worn out, your air conditioner or heater will struggle to do its job properly. As a result, it’ll have to work overtime, leading to an increased electric bill.
Before you start loading up on caulk and weatherstripping, it’s important to know exactly where the air leaks are. Read this handy blog on finding and fixing air leaks to ensure your electricity bills stay as low as possible.
Here’s our detailed guide on window insulation.
Inadequate insulation could also be the reason why your electric bill is so high. As a general rule, heat travels from areas with a higher temperature to areas with a lower temperature. Consequently, indoor heat is trying to escape outdoors in the winter. As a result, your air conditioner struggles to maintain a cooler temperature during the summer, and your heater struggles to maintain a warmer temperature during the winter.
Proper insulation prevents heat transfer through conduction, convection, and radiation – making it easier for your air conditioner to maintain your desired temperature. Your AC no longer has to run overtime to heat or cool the room. This saves energy and prevents a high electric bill.
If you’re convinced about the benefits of insulation but have no idea where or how to get started, read our 101 guide to home insulation.
Most people only occupy 1-2 rooms at a time. However, they still turn on the air conditioning for the entire house. This is a massive waste of electricity and leads to excessive bills. To get around this dilemma, you can create HVAC zones. HVAC zones use dampers to let you divide your house into zones and set a different temperature for each. Your AC will no longer have to work unnecessarily to cool your entire home.
Old air conditioners use a shocking amount of electricity. An average air conditioner can last for 10-15 years. After that, as they get older, individual parts, such as the compressor, become less efficient. Older compressors use considerably more electricity. As Energy Star regulations become stricter, newer air conditioners have a much higher EER and SEER rating than older ones.
Apart from air conditioners, older appliances, such as refrigerators or washing machines, can be massive energy hogs. Natural wear and tear decrease the efficiency of older appliances, and they have to run overtime and draw excess electricity. As technology improves, newer appliances are becoming more efficient. An old refrigerator consumes 35% more energy than an Energy Star certified refrigerator. Get rid of appliances when they’ve reached the end of their lifespan. If you don’t, you’ll spend more on expensive electricity bills.
Many people like to keep a spare fridge in the basement, unaware that it could be why their electric bill is so high. However, even if you’re not using your extra fridge, it consumes energy if plugged in. If your spare fridge is mostly empty, consider if you need it at all. If you must keep an extra fridge, ensure it is always full of something, or unplug it.
So the next time you wonder why your energy bill is so high, look at the spare fridge lying in the basement and consider flipping it.
Your water heater’s temperature could be why your electric bill is so high. Water heaters account for 14-18% of your total utility bill. Thus, you can save a lot on your total electricity bill if you cut down on water heater costs. But unfortunately, most households keep their water heater at a higher temperature than required.
Most water heaters come with a preset temperature of 140F. However, experts say you can safely set them to a temperature of 120F. Setting your water heater at a lower temperature will reduce energy consumption and prevent scalding injuries!
Another ingenious method of saving money on your water heater bill is insulating it with a water heater blanket. This will prevent heat loss, and the water heater will not have to work hard to maintain the desired temperature.
Using the dryer for every load of clothes is a major cause of high electricity bills. A simple clothesline can make a drastic difference if you want to lower your electric bill. Each hour of using a dryer costs anywhere between 24 and 72 cents. So if you use your dryer for every load of laundry, the cost can quickly add up. To avoid these costs, whenever the weather is good, skip on the dryer and hang the clothes outside to dry. Your wallet will thank you!
If you’re still using incandescent light bulbs, they could be the main culprit behind your high electric bill. Incandescent light bulbs consume a lot of energy compared to LED bulbs. It is estimated that the average household could save $225 per year by switching to LED bulbs. Not only are LEDs cheaper, but they are also very long-lasting. Once you invest in them, you won’t have to change your lightbulbs for years. So what are you waiting for? Make the switch now!
Appliances such as dishwashers and washing machines are notorious energy hogs. Apart from their energy consumption, they also need loads of hot water, thus increasing your water heater usage. Fortunately, saving money on washing machines and dishwashers is very easy. You just need to be a bit more responsible. For example, never run your dishwasher for a small load of dishes. Instead, wait for it to fill up completely, then run it at the end of the day.
You also don’t need to run your washing machine every day. Instead, keep a designated day or two to do the entire week’s laundry. These simple and easy steps will greatly help you lower your electric bill.
Apart from addressing the root causes of a high electric bill, there are a few additional steps you can take to reduce your bill even further.
Heating and cooling costs make up a big chunk of your total electricity bill. Smart air conditioning controls can help you get AC costs under control through useful features such as geofencing, humidity and temperature triggers, usage tracking, etc. Cielo Breez smart AC controllers can help you save up to 25% on heating and cooling costs.
Many modern-day energy appliances don’t shut down when given the command. Instead, they enter standby mode so they can power up quickly the next time you need to use them. The problem is that if you leave these devices plugged in, they will continue drawing energy. Over time, this energy usage adds up, leading to sky-high electric bills. So the next time you’re wondering why your electric bill is so high, walk around your house and look for any unused devices still plugged in.
Many people believe that lights and fans don’t use much energy, so they don’t bother turning them off when they exit the room. However, if you routinely leave ceiling fans and lights on, you will have a high electricity bill. So make it a habit to check any lights and ceiling fans when you leave a room. You will notice a difference in your electricity bill soon enough.
If you think an appliance consumes excess electricity, a watt meter or electricity usage monitor is your best friend. An electricity usage monitor helps you determine how much electricity an appliance uses.
Plug the monitor into an outlet, and then plug your appliance into the monitor. Then, run the appliance for 24 hours. The monitor will tell you its electricity consumption for 24 hours. Multiply that figure by 365 to get an idea of your yearly cost.
An electricity usage monitor can help you understand why your electricity bill is so high and where you need to reduce usage.
Turns out, always keeping your fridge full of food can actually be good for your wallet! Food acts as insulation and helps your fridge keep food items cold. Every time you open the fridge door, you introduce warm air into it. If you already have a lot of chilled food items in your fridge, they will retain cold air and that warm air will have less of an effect. On the other hand, if your fridge is always empty, the large amount of warm air that enters every time you open it has more of an impact and it has to work harder to keep cool.
If you already follow all the tips given in this article, yet your electricity bill has suddenly skyrocketed, there could be a few reasons:
If your bill is suddenly higher than usual, an electricity leak could be to blame. An electricity leak occurs when electricity flows to the earth through the earth wire, usually due to faulty wiring. An electric leak can be expensive and dangerous. If you turn off the main breaker for your house and your electric meter is still showing electricity consumption, you may have a leak. If you suspect a leak, contact a licensed electrician immediately. Do not attempt to fix it yourself as you can get a nasty electric shock.
A sudden unexplained increase in your electricity bill could be caused by pilferage. Switching off the main breaker is a simple and easy way to determine if someone is stealing your electricity. Contact the power company immediately if your electric meter continues showing electricity usage. They will send a technician to resolve the issue.
Your electricity bill may sometimes increase for reasons not under your control. If there is overall inflation in the country, naturally, your electric bill will also increase. Unfortunately, there is not much you can do in this situation. However, you can be even more diligent about not wasting electricity and reducing your consumption as much as possible.
Heaters use the most energy in a home. They account for the highest percentage of a home’s total electricity consumption. Water heaters and cooling appliances are the second and third biggest consumers of residential electricity, respectively.
Yes, unplugging appliances does save electricity. The average American household has 40 products constantly drawing energy. Combined, these can amount to 10% of total residential electricity use.
High electricity bills are a source of great financial stress and hardship. With these tips, you can reduce the burden on your wallet and benefit the environment. It’s a win-win! Start implementing these tips and enjoy big savings in no time!
He might not be as impressed by the way we get that electricity. In fact, America’s energy system would not seem particularly modern to anyone who lived 100 years ago. The house I currently rent in New York’s Hudson Valley, for example, is heated by oil that comes up the Hudson River in a barge—basically, the same energy system that would have heated my house a century ago. In theory, this should at least be cheap. After all, the U.S. is in the middle of a decades-long energy boom, passing Russia in 2011 to become the world’s largest producer of natural gas and overtaking Saudi Arabia in 2018 as the world’s largest petroleum producer. But because of outdated laws restricting the movement of fossil fuels within the U.S., combined with global market forces, my heating oil is expensive.
And despite the recent passage of a $374 billion law, the Inflation Reduction Act, that will incentivize more green—and more affordable—sources of power, many of the projects that might transition my energy sources to hydro power or solar are being held up by lawsuits and red tape.
Which is why I should probably not have been surprised to get an electric bill for $710 shortly after moving into this house. It isn’t just me: the cost of energy for the average American was up 13% in November from the previous year, according to the government’s inflation data. And the U.S. Energy Information Administration says that most U.S. households will spend more on energy this winter because of predicted higher energy prices and colder temperatures compared to recent years. I recently set out to figure out how this all came to be. It starts in your backyard.
The wires that bring electricity to my house link to the grid, which is powered by renewable energy like hydro and wind power—and by generators that burn natural gas. Although in the U.S. solar and wind sources are often the cheapest providers on the marketplace, people still need power when the wind isn’t blowing or the sun isn’t shining. And as states like New York have phased out coal and nuclear energy, their marketplaces have become even more dependent on natural gas plants to provide that non-intermittent electricity. Natural gas now comprises 60% of the generating capacity in New York state, meaning the maximum electrical output that can be created, up from less than 50% in 2000. The amount of power that can be generated by wind and other renewables is just 6%.
Even in the age of renewable energy, in other words, the price of electricity is closely tied to the price of natural gas.
Our continued reliance on natural gas is largely due to the “shale revolution,” in which companies used horizontal drilling and hydraulic fracturing (“fracking”) to increase natural gas production. It made the stuff cheap and plentiful, and allowed the U.S. to cut its use of coal. Today, about 38% of the country’s electricity is generated by plants that burn natural gas, up from 30% a decade ago. This system is cleaner than coal, but is worse for climate than renewables like solar or wind.
The link between natural gas and electricity prices didn’t become a problem for most consumers until recently. Until about 2016, the U.S. didn’t send its natural gas overseas, and so prices were largely driven by how much was being produced and used here. But then, around 2016, as it became easier to convert natural gas into liquified natural gas (LNG), companies started investing in LNG terminals, and exports grew. Because companies, not the U.S. government, produce natural gas (and oil) in the U.S., they send natural gas to whoever pays the most for it. The price of natural gas in the U.S. is now largely determined by global supply and demand.
To be sure, there’s still so much natural gas available in regions like West Virginia that in theory, energy prices should stay low for all Americans. But the U.S. has a Not In My Back Yard (NIMBY) problem with energy infrastructure.
Natural gas pipelines are largely underground, yet the process of adding new pipelines to existing infrastructure has been fraught with legal battles. Opponents try to block pipelines because they argue that they damage local habitats, threaten endangered species, and incentivize more hydraulic fracturing. In July 2020, after six years of litigation, backers withdrew from funding the Atlantic Coast Pipeline, which would have delivered more gas from the Marcellus Shale in the Appalachian to customers in the South. The Mountain Valley Pipeline, which would bring natural gas out of West Virginia and was supposed to be completed in 2018, has been stalled by lawsuits that have stymied the permitting process.
“The biggest issue is getting things permitted,” says Marianne Kah, an adjunct senior research scholar at the Columbia University Center on Global Energy Policy. “A heck of a lot more gas could come out of both the Permian and the Marcellus, if you could permit pipelines.”
It’s not just natural gas pipelines. NIMBYism is costing energy users across the spectrum. Paul Curran, whose firm BQ Energy builds solar projects on brownfields—land that was previously developed but is no longer in use—says that even getting a solar plant built on land that used to be a garbage dump takes time. “People are nervous about change, and the closer your project to where people live, the more it requires a little bit more hand-holding and explaining,” he says.
Many other projects have failed after years of litigation. After 16 years and $100 million in sunk costs, the backer of a proposed offshore wind farm near Cape Cod pulled the plug after years of litigation and opposition from wealthy property owners who did not want to look out their windows and see wind turbines. In 2021, Maine residents voted down a transmission line for hydroelectricity that would have connected Quebec and Massachusetts in a project known as the New England Clean Energy Corridor, because they felt it would cause environmental damage in Maine while primarily benefiting Massachusetts.
This is directly affecting my electricity bill. Over the last few months, I’ve been charged rates as low as 8 cents and as high as 16 cents per kilowatt hour. Those large swings are directly related to the volatile price of natural gas and to the difficulties of connecting more renewables to the grid, says Joe Jenkins, a spokesman for Central Hudson, my utility. In New York, 92% of the energy produced upstate comes from renewable sources while 89% of the energy produced downstate, in the dense New York City region, is generated by fossil fuels. Linking those two regions is going to require more transmission lines, which, of course, are being slowed by NIMBYism.
Even when renewable projects get the green light, connecting them to the grid is a challenge because it means relying on many more sources of power than the grid was designed for. If the grid used to be a one-way road that went between a few big power plants, it’s going to have to turn into a six-lane superhighway that criss-crosses smaller renewable projects and brings electricity in many directions.
“We’re going from this vertically integrated, large, central group of machines that powered the system for 100 years to trying to remake it inside of 20 years with a vastly different technology that’s intermittent and runs at the whim of Mother Nature,” says Kevin Lanahan, a spokesman for the New York Independent System Operator, the nonprofit that took over operating the state’s energy grid when New York deregulated its electric utilities in 1999. Engineers have to make sure transmission lines can handle the power that’s coming online, upgrade the system, and ensure reliability, Lanahan says, which can take years.
That’s causing a sort of traffic jam: The PJM, the nation’s largest independent energy operator, which covers 13 states including Pennsylvania and Ohio, became so overwhelmed with requests from renewable projects that wanted to be connected that, earlier this year, it put a two-year pause on reviewing new proposals.
Meanwhile, individuals have been doing what they can to save money through renewable investment on a smaller scale. I like the idea of slapping some solar panels on my roof and reducing my energy costs without having to rely on the grid at all. And the government certainly would like it if I did that—the Inflation Reduction Act extends a tax credit that allows anyone living in the U.S. to deduct 30% of the cost of installed solar from their federal income taxes.
That’s nice for homeowners who can pay the tens of thousands of dollars it costs to install solar panels, but it doesn’t help me, a renter. My neighbor installed solar panels on his home this summer; he told me that he’ll essentially have paid off the cost of the panels in seven years, and after that, will be getting electricity for free. With state incentives, rebates, and other credits, the cost of the 20 solar panels and installation on his roof was around $22,000. He receives credits for power the panels generate, which discounts the price of the power he consumes. Throughout the summer, he says, he’ll produce more than he uses, collecting credits he can use in the winter. “We effectively have a power plant on our roof,” he says.
But my neighbor owns the house. As a renter, this isn’t an option for me. There’s no incentive for me to pay to put solar panels on my roof or install heat pumps if those benefits eventually accrue to the landlord. Instead, I am dealing with leaky windows, an outdated heating system, and rising bills, along with the rest of the 35% of Americans who rent their homes.
If anything, I am paying my neighbor for his solar panels, says Christopher Knittel, a professor of energy economics at MIT’s Sloan School of Management. Customers are charged for the power they use and also pay a separate fee that goes to maintaining and upgrading the electrical grid. Both of those charges are based on how much power they use, so households that can reduce their rates by generating their own electricity pay a lower share of those maintenance fees, which means people like me have to pay more. (New York is in the process of changing this.)
In 1920, in the wake of World War I, Congress passed the Jones Act, to ensure that the U.S. would have an adequate supply of merchant marines for national emergencies. That bill essentially says that if you bring something from one U.S. port to another by ship, the vessel has to be built in the U.S., owned by a U.S. company, and staffed by U.S. crew. The law was passed amid concerns that the U.S. would not have enough vessels, infrastructure, and labor to supply the armed forces during future wars, and it has helped maintain a domestic shipbuilding industry and maritime workforce.
A century later, this law has made moving natural gas and oil from one U.S. region to another inefficient and costly. Though the Gulf Coast produces a huge amount of natural gas and oil, it is cheaper for regions like the Northeast to import theirs from overseas. So as the Gulf Coast is sending natural gas to Europe, the Northeast is importing natural gas from Qatar, which drives up costs and also creates unnecessary emissions.
Economists have been trying to get rid of the Jones Act for decades, with no success. The shipbuilding industry argues that it’s essential for keeping American jobs. Politicians on both sides of the aisle say it keeps America from being too dependent on other countries’ supply chains.
In the meanwhile, it’s contributing to high heating prices for many Americans. My home uses heating oil for heat. My supplier, McMillen Oil, likely fills its tanks from barges that travel up and down the Hudson River, says Taylor Hudson, the founder of Synergy Commodity, a consulting firm that works with energy resellers in the Northeast. A lot of the oil on those barges comes from outside the U.S.—refineries near me wouldn’t import crude oil from Texas or the Gulf Coast because of the Jones Act.
And the price of crude oil, like the price of natural gas, is closely tied to global supply and demand. Since people started traveling and factories started running after an initial pandemic shut down, the price of oil has been climbing. But U.S. oil companies are hesitant to explore new sources of the fuel because the transition to renewables could make that a losing investment. People who pay for heating oil—and for diesel, which is basically the same thing—are subject to the whims of the global market. For instance, the price of crude oil became even more expensive since Russia invaded Ukraine. It will likely rise even further on Feb. 5 when the E.U.’s ban on Russian oil imports goes into effect.
What’s more, crude oil needs to be processed into fuel in a refinery, and at least five U.S. plants have closed permanently in the last two years. There are just seven refineries in the Northeast today, down from 27 in 1982, and some antitrust groups argue that has driven up prices.
Home energy prices may become even more volatile as we push further to transition to net-zero emissions. Consider California, arguably the U.S. leader in this shift. Between 2002 and 2016, California reduced coal- and oil-fired power plants by 88%—and electricity prices rose to be 50% higher than the U.S. average.
That might be since, as more solar and wind power plants come online and drive renewable energy costs down, they force more expensive natural-gas plants to close. Which can become a problem on days when the sun isn’t shining or the wind isn’t blowing—and consumers are forced to pay a hefty price for the remaining backup fossil-fuel power. Were the California approach to be applied nationally, some researchers have predicted huge swings between days when electricity is basically free, and those when the cost is exorbitant. In the future, in other words, my energy bill might go down significantly. But it may also go up, up, and up.
With the ongoing war in Ukraine, chances are electricity prices will go up. Since the Philippines is heavily dependent on fuel-powered electricity, and Russia is one of of the top exporters of fuel worldwide, it’s clear that the fuel shortage affects our electricity rates.
This is why it’s more important than ever to learn how to reduce your energy bill. We’ve gathered our top tips to help you save money on your electricity bill.
Once you get over the initial electric bill shock (pun not intended), you need to know what’s going on. That’s why we compiled some of the most common reasons behind electricity bill increases, along with tips for getting your monthly payment back down to earth.
An increase in your electric bill can come from a variety of causes, or sometimes a combination of causes hitting all at once. These can range from a change in the outdoor temperature to a change in your indoor working habits, or even having your ceiling fan turning in the wrong direction. Keep reading for some of the most common reasons behind a higher electricity bill.
While some of the solutions to these problems carry an upfront cost, the long-term savings could be worth it.
Summer’s sizzling heat and winter’s deep freezes can make your electricity bills soar, especially if both your heating and cooling systems run on electricity. You can check for season-related changes by comparing one of your spring or autumn bills to those received during the peak of summer or winter.
Even though you’re apt to use more electricity during the hottest and coldest months, you may be using more than you need to. Have your heating and cooling system checked annually to make sure they’re running as efficiently as possible. Inefficient HVAC systems will use more power to do a worse job, which is literally wasted energy (and money).
No, we’re not referring to washing machines that grow fangs when nobody’s looking. Vampire appliances refer to appliances and electronics that continue to draw electricity when they’re plugged in, even if you’re not using them. Modern gadgets are big culprits here, as some devices never really shut down. They instead go into standby mode so they can power up quickly when needed. The biggest vampire culprits include:
Using a power strip for certain devices, and then shutting off the power strip when the devices are not in use, can stop the electronics from perpetually bleeding electricity. So can unplugging them, especially those 500 different chargers you’ve got plugged in around your house.
When your electronics are done charging, make sure you disconnect them from the charger. While newer devices may automatically stop draining energy when they’re fully charged, older devices can keep on charging…and charging…and charging…
This results in an electricity bill that keeps growing…and growing…and growing…
Not only that, but it can also decrease the battery life of your device over time.
Home offices are notorious for vampire electronics, and their electricity drain can add up. Here’s a rundown on the power draw, in watts, for common home office equipment when it’s both active and idle.
You’ll notice that even when idle, some of these electronics are still pulling significant power.
Personal computer
Video monitor
Laser printer
Copy machine
Total
The total monthly cost, of course, depends on how often you use the equipment. But even if everything but your computer is active for only one hour a day, you could be adding about $14 a month to your bill.
Washing dishes and laundering clothes aren’t typically at the top of the fun list, but people may still overuse their dishwasher, washing machine, and dryer. Worse yet, those energy hungry appliances may be outdated and highly inefficient, boosting the bill even higher.
Energy Star ratings didn’t hit the appliance scene until 1997, so anything older than that is likely to be an energy-eating dinosaur you could replace to save money in the long run. Also only use your dishwasher when you have a full load, using the low-heat or no-heat setting for the drying cycle. Try washing clothes only once a week and only with a full load, again using the low-heat setting on your dryer.
You leave the room. You leave the lights and fan on. Bingo. Higher electricity bills. While the electricity used may be minimal, every dollar counts—that's what we say. Depending on what type of bulbs you have, how many you leave on, and for how long, you might be adding a few unnecessary dollars to your monthly bill. And that’s not even counting the ceiling fans.
How do you misuse lights and fans? One way is by illuminating an entire room or large space with overhead lighting when all you really need is a small task light or desk lamp.
Also, ceiling fans with blades turning in the wrong direction can actually make the room hotter when you want it cooler, and vice versa. Most ceiling fans have a toggle switch to adjust the blade direction. You want them turning counter clockwise in summer and clockwise in winter.
Save even more by swapping out those old school incandescent bulbs for LED bulbs. This can particularly add up in larger homes with lots of lights. Lighting makes up about 15% of the average household’s electricity use, and switching to LED lighting could save around $225 every year.
It doesn’t matter how many LED bulbs or properly turning ceiling fan you have if your home doesn’t have adequate insulation. Without proper insulation, outside heat (and cold) has a merry ole time seeping indoors. You may notice this most with ceiling insulation, as the heat or cold from the attic can cause a sharp increase in air conditioning or heat use.
Older homes are particularly known for having inadequate insulation. In certain climates, older homes may have no insulation at all. If inadequate insulation is to blame, improving it should be your first step.
Water isn’t the only thing that can leak around the home. Outdoor air could be leaking into the house through cracks around windows, doors, vents, ducts, electrical outlets, recessed ceiling lights, fireplace dampers—you name it. Any opening that can let in outdoor air inevitably will.
Leaks need to be caulked or otherwise sealed. You may be able to spot obvious leaks on your own, while a home energy audit can ferret out the less obvious ones.
While the leaks themselves aren’t necessarily the direct cause of your electricity bill being higher, it’s what the leaks result in, such as your heating or air conditioner system kicking into overdrive to offset the cooler or warmer air seeping into your home.
Keeping your bedroom and other interior doors closed can also contribute to high electricity costs by making your air conditioner go into overdrive. That’s because the cooled air that goes into each room has no way to circulate back to the AC.
You’re left with closed-off rooms that build up positive pressure in relation to the outdoors, while the rest of the house has negative pressure. This scenario results in more of that air leakage mentioned above.
Think of the closed-off rooms as over-inflated balloons that leak their extra air into the outdoors. The other open rooms are under-inflated balloons that end up sucking in extra air from the outdoors. Rule of thumb when your HVAC is running: Keep all the interior doors open.
While utility rates go up in increments all the time, you might see a massive jump if you were on a contract that expired—and then you’re automatically billed the higher, non-contract rates. Great.
This can be particularly unnerving if you were on a fixed-rate plan that expired and you’re suddenly billed a variable rate. Fixed rates ensure you’re billed a set amount every month, with your annual total broken down into 12 payments. Variable rates vary from month to month, depending on how much electricity you use that given month.
Keeping an eye on your plan’s expiration date and renewing on time can help you avoid this in the future. Signing up for a new fixed-rate plan may get you out of the current pickle.
If you’re worried this might have happened to you, give your electric utility company a call and make sure you fully understand the terms of your contract and what’s contributing to your total monthly cost.
Electricity doesn’t get to your home by magic. Nor is it solely the utility company handling the full process. The utilities rely on electricity suppliers, or providers, to sell them electricity directly from the source, or the actual generator of the electricity. So different entities and resources are needed behind the scenes to get power into your home. If there are cost increases on that behind-the-scenes part of the chain, that cost can get passed along to you.
Consider these two examples:
Electricity costs can increase when there is an increase in:
If you see something like gas prices take an astronomical hike, you’re likely to see an increase in your electric bill as well.
Checking for and correcting the issues outlined above is a solid first step toward lowering your electricity bill.
You can also launch an overall game plan that helps reduce your bill. For starters, check out our Ultimate Guide to Saving on Your Electric Bill.
In shorter form, here are a few quick tips:
Going solar is another smart move to save money on your electricity bills and reduce your long-term energy costs. Especially since renewable energy is now more accessible and cheaper than ever. Installing solar panels is one option if you have the budget for it.
But if you can’t install your own panels, you can always join a community solar program to save money on your electricity cost (while helping to clean up the power grid, too).
At Perch Energy, we make it super easy—no rooftop panels, no installation, no upfront fees, and no headaches.
Perch will help match you to a local solar farm. You'll support the operations of that farm so that it can generate and contribute as much clean, solar energy to the overall grid. You don't directly receive electricity from the solar power you're supporting, but thanks to government incentives, you'll get credits toward your own electricity bill—conveniently applied directly on your bill through the utility company since the utilities are connected to the solar farms.
The hours when electricity costs more are called peak hours, and there tends to be greater demand for electricity during these times. If you find yourself using electricity during peak hours, you can expect to see a higher bill.