As a renter, it’s important to know approximately how much electricity you will use each month in order to get the best deal on electricity. Some electricity plans are cheaper for lower energy usage customers, while other plans are designed with high usage customers in mind. If you’re just moving into an apartment, ask your leasing agent to provide you with historic kWh usage information for your specific unit if possible.
Variable Rate: With a variable rate, you stand closer to the fire. Rather than keep your costs separate from market conditions, you experience the rise and fall of price alongside your provider. You profit when supply exceeds demand, but could pay through the nose if the electricity grid becomes overtaxed. That usually means a higher bill in the summer and winter (when demand is at its highest) and a lower one in the fall and spring. A variable rate plan is best for people interested in staying on top of market changes – when prices get too exorbitant, there’s no contract and no cancellation fee if you want to try a new provider.

Electric utilities are responsible for the distribution, or delivery, of electricity to the customers who live in their service area. The electric utilities also employ the lineman that restore your power after a major weather event and repair the downed power lines and damaged poles. Every month you will see a delivery charge on your electricity bill. This is for the transmission and distribution of electricity to your home or business.  The amount charged for the delivery of electricity is still regulated by your state’s public utility commission. These delivery rates are subject to change at least twice a year and they pay for the maintenance and operation of the poles and wires that serve your residence or business.
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