You know there’s a saying: “With great power, comes a great big electricity bill.” And it’s true!
All jokes aside, when we as homeowners get a higher-than-expected bill from our power company, it causes alarm. And for good reason! When this happens, we need to explore the potential reasons and take action to prevent another abnormally high electric bill. The following guide will help you understand higher-than-normal energy bills. We at Five Star Home Services offer the following tips to reduce your electric bill when it’s too high.
What Causes High Electric Bills?
There are a lot of factors that can cause high electric bills. These factors include the type and size of your home, your habits, the climate, the cost of power, and the condition of your electrical system. The average U.S. electricity cost for residential customers is now 23 cents per kilowatt hour, up from 15 cents per kilowatt hour 2022. Below are several factors behind higher electric bills and what you can do to keep yours in check.
1. Current Events Impacting Costs
Global events affect the cost of power. World events, such as the recent global pandemic, the war in Ukraine, activities by OPEC and natural disasters like forest fires affect demand, availability, and cost. Also, changes in regulations and laws on drilling and pipelines also affect fuel prices and the cost of electricity. You can explore how electricity pricing works to learn more about drivers of electricity costs.
2. Change in Weather and Seasons
Your central air conditioner works harder on hot days, and your heater must step up in the winter. Because of this, you will consume more electricity if it powers heating and air conditioning. Otherwise, you might wonder: Why is my natural gas bill high? If you ask “why my electric bill tripled in one month,” simply compare it with last month. Compare it with your bill from the same time a year ago. Look at the difference. You might not have an abnormally high electric bill after all. The differences could be related to seasonal trends.
3. Changes in the Cost of Fuel Used for Power Generation
Despite rapid de-carbonization of the power grid, a large portion of power generation still uses fuel from gas, oil, and coal. When it gets extremely cold, you’ll need more heat. Everyone else in your region will at that same time. When the demand is higher, fuel prices go up and so does electricity costs.
4. Overdue HVAC Maintenance
One thing you can you do when your electricity bill is too high is have maintenance performed.
This helps to reduce energy costs. We at Five Star Home Services offer these and all types of HVAC, plumbing, and electrical services throughout the Miami Valley, Ohio, area.
Even if they aren’t the newest models, your furnace and air conditioner will be much more efficient with clean filters and motors operating smoothly. If you have a clogged filter or worn parts, your system will have to work harder to achieve the same level of heating or air conditioning — consuming more electricity, and leading to an abnormally high electric cost. Following HVAC lifespan tips also keep your systems running longer.
5. Inadequate Insulation or Air Leaks
You might not notice that your home’s insulation is insufficient when temperatures are mild. In extreme cold, however, you might feel air leaks from doors and windows. If it’s extremely hot, bad insulation makes it harder to keep cool. In any case, an energy audit performed by us at Five Star Home Services should answer your question about why your electric bill is so high.
Indeed, poor insulation is a common factor that causes high electric bills. An audit can help you when it comes to finding air leaks in your home. You could end energy waste and potentially cut your bill by beefing up your insulation. Something simple, such as a weatherstrip under a door, can make a huge difference. In any case, we are here to help you with all your home service needs.
6. Energy Use During Peak Times
Unfortunately, seasonal demand changes are only part of the issue. Demands can also change during the course of any 24-hour period. During the night, when most places are closed and most people are asleep, demand may be lower. However, during a hot summer day, demand in the late afternoon could be higher. One solution is to run large appliances, like dishwashers, ovens, washers, dryers, HVAC units, and vacuums during off-peak times. You can likely save money with plans that reward you for using such appliances when electricity rates are lowest.
7. Leaving Fans and Lights On
It’s important to turn things off when not in use. Leaving fans, lights, and appliances on when not in use can cause higher electric bills. And while leaving lights on is bad enough, it is worse with energy-wasting incandescent bulbs. We encourage you to replace old bulbs with energy-efficient LED lights. We also recommend turning off appliances like televisions, computers, game consoles and others when they’re not in use. Properly placed fans may be worth leaving on if they circulate air and reduce how hard your HVAC must work.
8. Greater Use of Home & Devices
Did you know that working from home can increase your energy usage. Sometimes people who work from home run their air conditioner more or keep their heat higher to remain comfortable. Additionally, computers, printers and other electronics use energy throughout the day. You might also need brighter lighting, as well.
You can reduce the impact by using energy-efficient lighting and other efficient devices. You can also unplug and turn off devices that remain idle. Plugging devices into smart plugs that automate turning them on and off also helps. We offer smart products. With these you won’t have to put effort into remembering to turn them off.
How to Save Money on Your Electricity Bills
Looking for additional ways to save money on your electricity bill?
A variety of complex factors drives the price of electricity. Increasing costs are beyond our control. However, Changing a few habits and taking advantage of our energy-saving tips and DIY electrical upgrades gives you more control of your bill. Here are some additional tips to lower our electric bills.
Switch from variable to fixed supply energy rates
Homeowners can protect themselves from high fuel costs and an abnormally high electric bill by changing their power contract terms and locking in an electricity rate for the entire year. Although it is difficult to budget with unpredictable variable rates, fixed supply rates give you the ability to plan and could possibly save you money in the long run.
Look for a different energy supplier
If you live in an energy choice state like we do i Ohio, you can choose your supplier and shop for plans that work with your lifestyle to help save you money. In short, Ohio has a deregulated retail electricity market. Households and businesses can “shop” from among competing marketers for their electric services to get the best rates.
Install a smart thermostat
This is a vast suggestion; we are the place to turn for thermostat upgrades! We encourage you to replace your traditional thermostat with an intelligent model. We at Five Star Home Services have excellent deals on thermostat upgrades that save you big money! Smart thermostats maintain the best settings and optimize how your HVAC systems run as conditions change daily and from week to week. All this can significantly improve energy efficiency and costs.
Upgrade home insulation and seal drafts
Upgrading your home or building’s insulation and sealing air drafts are great ways to improve comfort and save money on energy. Insulation and air sealing are two great upgrades that work together. As noted, it will increase comfort, provide consistent temperatures throughout the home and lower heating and cooling costs, among other benefits.
Adjust your habits in the home
Making minor adjustments in your habits, such as turning off lights, lowering the thermostat, ensuring your dishwasher is full before running it, and using drapes and fans to manage sunlight — all help. When you are faced with figuring out why your electric bill is so high, adjusting things like this helps.
Compare electricity prices for your home with Five Star Home Services
Eliminating waste and switching up your habits go a long way in reducing high electric bills. If you live in a state with an energy choice like Ohio, it is worth exploring options with Five Star Home Services that may give you greater control over your pay.
For more information on reducing your electric bills and making your home more energy-efficient and eco-friendly, call us today!
