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Understanding Your Electricity Bill Part 1: The Basics
Aug27

Understanding Your Electricity Bill Part 1: The Basics

Hello solar drops and droplettes!  Electricity bills can seem quite cryptic to the uninitiated, so we are going to do our best to demystify the bills for our readers.  It is our hope that you will gain a better understanding of your electricity usage, utility rates and schedules, how you can reduce your personal usage and save money.  Once you understand how your electricity rates works, you’ll be able to determine whether or not replacing all or part of your electricity with solar makes sense in your specific situation. We’ll focus on the basics of the bill page-by-page, focusing mainly on the first and third page because the other pages contain no usage data.  Future articles will address other aspects of electricity bills, some of which were outlined above and others that will be generated directly from questions you may have.  Please post any questions in the comments and I would be happy to answer them in a later article.  Now, grab a copy of your bill to follow along, and without further ado, let’s dive in! *Please note that the example bill for this article is from Southern California Edison (SCE). Most bills have the similar information, but if there are some serious differences, feel free to ask about them.  I will address all questions in later articles or directly in the comments.* Page one is your account summary. Most of the important numbers on the bill are on this first page. The customer account number is in the upper right-hand corner. This number can be used to check your account history online or over the phone. The customer account refers to any properties signed up with the utility under the same name. The service account number is associated with specific addresses that are under the customer account. Underneath this number and associated address is the rotating outage number, which may be used to access information about scheduled blackouts for your outage group (this information is available online or by phone as well). Just below the top portion of the bill is the invoice summary of the previous bill amount, your payments, the current balance and any new charges that have accrued in the current billing period, which is listed in the top left-hand corner. Below the summary is the reading from your meter in kilowatt-hours (kWh). It provides a graph that shows your daily average electricity usage (kWh).  Use this tool to compare your daily usage as it varies month-to-month and season-to-season. The bill also offers data on your average daily usage by the year, so if you have been making efforts to reduce your usage, those...

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