Opening the electric bill at the end of the cycle can be a bit scary, as it seems to just go up month after month. Those who are paying higher energy bills may wonder if they could get better rates elsewhere and, if so, how much they could save by switching. It’s actually possible to see if there are cheaper prices elsewhere by considering and comparing the following.
Check the Electricity Rate
Before looking at electricity providers in your area, check out the electricity rate for the current provider. It may have different rates depending on how much energy is used per month. All of this information is on the bill, so read through it carefully to understand everything included in it. Some providers have higher rates than others, so it is possible to be overpaying compared to what the amount would be with a different provider.
Review Monthly Usage
Think about how much energy is used per month and when it’s used. The overall kWh (kilowatt hour) used can show how much is being charged for the electricity – and could make it easier to see if the issue is inefficiency instead of high base rates. If the household uses more than the average amount of kWh per month, it may be that the home is inefficient, not that the base rate is too high.
Look for Hidden Fees or Additional Charges
It is a good idea to read through the entire bill to look at what other charges are included. Most providers do have additional base charges, like delivery charges, that can increase when more kWh are used. There may also be hidden fees that increase the cost per month, so it is important to look for them. If it is time to look for a new provider, be aware of hidden fees to try to avoid them in the future.
Have a Home Energy Audit Done
It is a good idea to have a home energy audit done, as this can help determine if there are any efficiency issues with the home. The auditor will go through the whole home to review the energy use and look for potential issues. After an audit, it may be necessary to replace or add insulation to the home, upgrade to newer appliances, or look into other ways to reduce energy use within the home. Once the home is more efficient, the energy bill should decrease and become more affordable.
Compare With Other Providers
If as much as possible has been done to reduce energy usage and the bills are still high, it’s time to start looking into other providers. Be sure to compare the base rates as well as other charges and details to find one that’s going to be far more affordable. It is recommended to look for fixed-rate plans to save as much money as possible and prevent any surprises when the electricity bill comes each month.
If you’re worried about how much you’re paying for electricity, now’s the time to take charge of your energy costs and see what can be done to lower them, even if that means switching to a new provider. All of the information here can help you compare how much you’re spending now with new providers to help you get the best deal possible and save more on your energy costs.