How to Reduce Your Electricity Bill | Choose Energy®

Why is my electricity bill so high?

There are a lot of reasons why your bill could be surprisingly pricey. In the energy industry, you are charged by how much energy you use – measured in kilowatts hours (kWh). For fixed-rate plans, the amount you are charged for every kWh you use stays the same. Under a variable-rate plan, that rate can change based on the wholesale cost of energy. If your bill is higher than you expected, it may be because you are consuming more energy than you realize. Or, if you are enrolled in a variable-rate plan, it may be because energy demand went up, which led to an increase in the market cost of electricity. To learn more about lowering your electric bill, see our tips at the bottom of the page.

How can I understand my electricity bill?

The key to saving on your energy bill is to understand what your bill is telling you each month. We get it – electric bills can feel confusing. That’s why we created this guide to understanding your energy bill, which includes a walkthrough of everything listed on your bill and what it means.

How can I lower electricity delivery charges?

Electricity delivery charges (often called Utility Distribution Company or UDC charges on your bill) are fees from the utility that delivers electricity to your area. These charges are determined by the state and everyone in the utility’s service area is charged the same amount, regardless of who your provider is. Unfortunately, this means you cannot lower the UDC charge on your bill.

How can I conserve electricity?

We’re glad you asked! One of the best ways to lower your electricity bill is by using less energy. Below you’ll find our top 5 tips for saving energy, as well as resources to help you lower your bills.