Why Is My Energy Bill So High?

If you experienced some sticker shock when you opened your last power bill, you’re certainly not alone. Most people have experienced an increased financial burden due to inflation in the past few years. Some examples of sharply rising prices include food, housing, transportation and, of course, electricity.

You might lack control over such global problems as supply chain issues, shortages or political instability, but you still have a chance to take stock of the things you can control to reduce your power bills. Begin by conserving energy and shopping around for the best energy providers.

How Can I Reduce My Power Bills?

Almost all households need heating, cooling, and essential appliances and electronics. Right now, most people can’t go entirely off-grid for their power needs. However, you could take steps to conserve energy and find the best deals on electricity prices. These actions can help save money on monthly electricity bills while making your home more convenient and comfortable.

Perform Energy Audits

You can only solve a problem that you understand. An energy audit offers an ideal way to uncover issues that may make your home use more electricity than needed. For instance, many audits will find drafts, outdated insulation and older energy-sucking appliances.

Once you understand the problem, you can compare solutions. Some upgrades, such as sealing drafts around doors or windows, take a few supplies and a few hours. Other improvements may require calling a professional.

The government may offer tax credits for a professional home energy audit. You might also consider performing a DIY audit by taking these steps:

Locate drafts: The Department of Energy says that typical homes can conserve energy by 10% to 20% simply by sealing air leaks.
Check insulation: Many homes can benefit from upgraded attic insulation, extra insulation in wall spaces or on the hatch leading to the attic.
Evaluate appliances and HVAC systems: Consider replacing older appliances or HVAC systems with new, energy-efficient models.

Adjust Thermostats

When you plan to leave home for several hours, adjust your thermostat to a setting closer to the temperature outside. You can save as much as 10% for every seven to eight degrees closer to the external temperature.

Programmable thermostats don’t cost that much and can make this task simple and automatic for work and school days. These devices also have simple override functions for those days when you don’t stick to the programmed schedule. They can also automatically switch to a more comfortable temperature before you plan to return home, so you’ll always feel comfortable.

Shop Around for Electricity Suppliers

Like most services, you can shop around to find electricity providers offering lower rates, special incentives and programs that suit your needs. For instance, the state’s Public Utility Commission found that Texas electricity rates varied by $2 to $3 per 1,000 KWh for various providers in one local area. Online comparison sites also make shopping for the best providers from your phone or laptop easy.

Excellent tips to help choose the right power company for your household include:

Price per KWh: This figure lets you directly compare the prices various providers charge.
Price guarantees: Some providers allow you to lock in a price for a set period, making it easier to manage budgets.
Fees and taxes: Check to see if the offers include typical fees and taxes to ensure you’re making a fair comparison.
Extra incentives: Some suppliers may offer cash-back or gift card promotions. Some power companies also provide incentives for using energy during off-peak hours. For example, you can run the dishwasher before bed to save money instead of running it in the afternoon.

Who Benefits From Lower Power Bills?

You can’t find many people who enjoy paying more than they need to for electricity. Making your home more energy-efficient and patronizing providers with the best rates can help you save money. Many of these improvements pay for themselves rapidly. Many energy-saving measures also improve convenience and comfort, two benefits that almost everybody would sign up for.