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mom and baby adjust thermostat Aug. 16, 2022

Four factors affect electricity usage

Hot summer days impact the amount of electricity you use each month and can increase your bill. 

If your electric bill is higher than usual, here are four factors that may impact it: 

1. Consumption. The primary factor that impacts your monthly bill is the amount of energy used. The more energy your home uses, the higher your electric bill will be. 

Keep in mind that heating and cooling systems typically account for more than 50 percent of your home’s energy. 

2. Weather. Changes in outdoor temperatures impact your bill. As temperatures rise in the summer, your home’s energy usage increases. 

The greater the difference between the outdoor temperature and your desired indoor temperature means your cooling system is using more energy to reach the desired indoor temperature. Try bumping up the thermostat a couple of degrees and using fans to help the unit run less. 

3. Fuel Costs. The power cost adjustment on your statement is how NAEC adjusts for the increase or decrease in the cost of generating and distributing electricity. 

These costs change rapidly. Rather than changing the co-op’s base kWh rate every month, we use this line to pass on either additional costs or savings to members. It is shown on bills as the line item “POWER COST ADJ TO/RTO RIDER.” 

NAEC does not make money on the adjustment. The Arkansas Public Service Commission mandates the adjustment only be used to recover fuel costs billed by NAEC’s wholesale power provider Arkansas Electric Cooperative Corporation.

Each month, the power cost adjustment factor provided by AECC is multiplied by kilowatt hours each member used in the current month. Members will have a credit or debit depending on the cost of energy during a particular billing cycle.

4. Billing Cycles. Billing cycles can vary depending on the dates billed. More days in a billing cycle may make your bill seem higher than normal. 

NAEC billing specialists and energy auditors can help you understand your usage and statement as well as discuss energy audits, recommend energy-saving tips and suggest billing or payment methods that may help. Email or call 870-895-3221 for assistance. 

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