Understanding Utility Bills

Understanding Utility Bills

Electric utility charges typically consist of two main components:

Volumetric Charges – billed on a per kWh rate
Demand Charges – billed on a per kW rate

Demand charges (kW) are calculated based on the highest level of power drawn during a defined interval by your utility, typically 15 or 30 minutes.

Electric Vehicle (EV) chargers significantly contribute to
Demand charges, leading to increased operational expenses.