Example of typical residential electrical bill

Understanding Your Bill

It is always a good idea to review your bill on a regular basis even if you have automatic withdrawals or e-bills. Not surprisingly, energy consumption is the primary driver of your total bill, but there are numerous other items that may be less obvious at first glance.

The following charges make up most of your electricity or natural gas bill:

  • Cost of energy consumed
  • Cost of delivering the energy
  • Other charges such as rate riders, special levies and taxes

Energy consumption charges are based on how much of the commodity (e.g. electricity, natural gas) you used; the cost of delivering the energy is largely fixed (e.g. the wires or pipes bringing your energy are fixed sizes that do not change with seasonal changes in energy consumption). Other charges may or may not be related to the energy delivered and consumed (e.g. public transit levies).

Below are links to explanations of representative electricity and natural gas bills.