Breaking down your electric bill

By
Posted on Dec 08 2024 in Jasper County REMC
Jon Rich
JON RICH
CEO

As we study our rates here at Jasper County REMC, I want to discuss some of the line items on your electric bill. When you receive your monthly utility bill, you might notice a line item called the facility charge. This charge is essential for maintaining the infrastructure that allows us to deliver service to your home and the overall operation of your cooperative. The facility charge is a flat fee but varies depending on your billing class.

Another line item on your electric bill is the energy cost tracker. This is a billing adjustment to cover the fluctuating cost of power that we purchase on your behalf. Think of it like this: gasoline stations can adjust the price of gas daily based on market changes. However, utility companies cannot change base kilowatt rates daily to reflect the fluctuating cost of power. This is where the energy cost tracker comes into play. The energy cost tracker allows us to keep our base rates as low as possible while still covering the cost of the power we purchase. The energy cost tracker covers the difference, ensuring we can pay our power supplier.

On your bill, the kWh (kilowatt hour) and energy cost tracker rates are multiplied by your kWh use for the month. This means the energy cost tracker, like your kWh charges, is directly proportional to your monthly electricity usage. For example, if you use more electricity during the holiday season with Christmas lights or in the summer with a pool, your kWh and energy cost tracker charges will be higher. Conversely, conserving energy will lower these charges.

I hope this high overview helps you understand some of the line items on your electric bill. By understanding these components of your utility bill, you can better manage your energy use and costs.

From all of us at Jasper County REMC, have a Merry Christmas and a Happy New Year!