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Components of a Three-Part Rate
How does each component affect your bill? Which can you control with your usage patterns?
Electric Service Charge
The electric service charge is a flat fee charged to each member in a rate class that is designed to recover expenses associated with maintaining the infrastructure and administration. This amount is the same each month, regardless of how much electricity you use.
Electrical Usage Charge
The price per kWh of usage. Reducing your total usage over the month can reduce the amount you pay.
Demand Charge
Demand measures the kW of electricity you are using at one time. If the HVAC is running at full capacity while you are also baking cookies and doing laundry, you are drawing a great deal of electricity at once. If you can spread out your chores to use just one appliance at once, this will help reduce your demand.