What to Do If Your Electricity Bill Is Too High

A surprisingly high electricity bill can be a source of frustration, often arriving unexpectedly or significantly exceeding previous months’ charges. While minor fluctuations are normal, a sudden, sharp increase without an apparent cause, or a bill that consistently surpasses your budget, indicates a need for closer examination. This guide offers actionable strategies to help consumers understand, mitigate, and reduce their electricity expenses.

Analyzing Your High Electricity Bill

Understanding the details of your electricity bill is the first step in diagnosing a high charge. Bills itemize charges, including kilowatt-hour (kWh) usage. Beyond usage, you will see supply charges for the energy used, and delivery charges for transporting electricity to your home. Taxes and other regulatory fees are also common line items.

Reviewing your usage history, available on your bill or through your utility’s online portal, can reveal significant spikes. Comparing current kWh consumption with previous months or the same month in prior years helps identify if the increase is due to higher usage or other factors. A sudden increase in your bill without a proportional increase in usage might suggest a change in rates or a billing issue.

Several factors contribute to higher electricity usage. Seasonal changes are a major factor, as extreme temperatures require more heating or cooling. New or frequently used appliances, especially older or less efficient models, can also significantly boost consumption. Even electronics in standby mode, known as “phantom load” or “vampire drain,” quietly consume electricity.

Changes in household habits, such as increased occupancy or more time spent at home, also increase demand. In rare cases, a faulty appliance, poor insulation, or an electrical leak due to wiring issues could be responsible for a disproportionate bill. You can perform a basic self-check by turning off your main breaker and observing if your electric meter still shows consumption; if it does, an electrical leak might be present, requiring professional assessment.

Implementing Energy-Saving Measures

Once you have identified potential reasons for a high bill, implementing energy-saving measures can significantly reduce future consumption. Optimizing your heating, ventilation, and air conditioning (HVAC) system is important, as it is the largest energy consumer in a home. Setting your thermostat to an energy-efficient temperature, such as 78°F in summer and 68°F in winter, and regularly replacing air filters can improve efficiency. Sealing air leaks around windows and doors with caulk prevents conditioned air from escaping, reducing the workload on your HVAC system.

Improving appliance efficiency also contributes to savings. For large appliances, running full loads and utilizing energy-saving settings can minimize electricity use. Air-drying clothes instead of using a dryer can significantly cut costs. For water heaters, lowering the thermostat to 120°F from the common preset of 140°F can reduce energy consumption and prevent scalding.

Transitioning to energy-efficient lighting, such as LED bulbs, is another simple yet effective measure. LEDs consume significantly less energy and last longer than traditional incandescent bulbs. Developing behavioral changes, such as turning off lights when leaving a room and unplugging unused electronics or using power strips, addresses “vampire drain” and conserves energy. Basic insulation checks for drafts can prevent energy loss.

Communicating with Your Utility Provider

After analyzing your bill and implementing initial energy-saving steps, contacting your electricity utility provider is a next step. Have your account number, bill details, and any analysis notes available when contacting customer service. This preparation helps facilitate a productive conversation about your high bill.

You can inquire about specific charges, usage spikes, or any recent rate changes. Many utilities offer payment arrangement options to help manage high bills. These can include deferred payment plans, where you pay a portion now and the remainder later, or budget billing, which averages annual energy costs into consistent monthly payments. Extensions on payment due dates may also be available depending on your circumstances.

If you suspect an error in your meter reading, you can request a meter accuracy check from your utility. The utility will schedule a technician to test the meter, ensuring it accurately reflects your consumption. Should you believe there is a billing error, you can dispute the charges; this process involves submitting documentation and a detailed explanation of your claim. Many utility companies also offer or can direct you to information about home energy audits to identify areas for improvement and potential savings.

Accessing Payment and Assistance Programs

For households facing affordability challenges, various support programs are available to help manage high electricity costs. The Low Income Home Energy Assistance Program (LIHEAP) is a federal program that assists low-income households with energy bills. Eligibility for LIHEAP depends on income levels and household size, with states and local agencies administering the program and handling applications.

Beyond federal initiatives, many charitable organizations and non-profits offer energy assistance or referrals to local resources. Community-based groups, faith-based organizations, and other non-profits have funds or partnerships to help eligible individuals and families with utility payments. These organizations can be found through local directories or by contacting social service agencies.

Utility companies themselves offer specific assistance programs for low-income customers or those experiencing temporary financial difficulties. These utility-specific programs might be funded through customer donations, company initiatives, or state-mandated programs. Information about these offerings is available on the utility’s website or by contacting their customer service department. Applying for these programs requires proof of income, household size, and sometimes a disconnection notice. Crisis assistance programs are also available for emergency situations, such as preventing service disconnection or providing immediate aid.