Take A Closer Look At Your Utility Bills
Do you ever find yourself questioning the charges on the
utility bills at your Escondido condos? Utilities companies that service Escondido
condos are turning to a new tool to help consumers conserve energy and cut
costs: the monthly bill.
For many owners of Escondido condos, the utility bill offers
little more information than the total due -- not even a breakdown of that
figure, which includes not only fuel charges but often a dozen or more other
costs, including delivery charges, taxes, and charges for special programs like
pollution controls on power plants or subsidies for low-income households.
The problem with such a simple bill is that it doesn't give
consumers any way to calculate how much they can save by cutting back on their
energy use, or which measures on their part will save them the most. Â And that blunts a major incentive for
conservation
Now, many utilities are in the process of revamping their
bills to give consumers detailed information, along with basic tips on how to
reduce energy consumption. Some are going even further, testing advanced meters
that allow consumers to monitor online the energy usage of the furnace, the air
conditioner and other household appliances continuously, so that they can
adjust their settings accordingly.
It's an uneven transition. Many utilities say they're still
trying to figure out what information consumers need and how best to present
it. But more are making the effort as they face growing complaints from
consumers about energy prices and increasing pressure from regulators to help
reduce energy consumption.
In the Dark
What is it consumers are missing? For starters, without an
itemization of charges, consumers can't tell how much of their monthly expense
is fixed and how much is within their control. Also, without knowing how much
they're paying for each unit of gas and electricity they consume, it's
difficult for them to know whether they could get more benefit, for example,
from buying a new Energy Star refrigerator or replacing a funky, old gas furnace.
And without knowing how the prices of gas and electricity change according to
levels of usage, consumers can't gauge exactly how much any conservation effort
on their part will save them
The Next Step
Over the next few years, consumers in many markets will
receive much greater detail on their energy use than they do today, as
utilities install advanced meters that can measure a household's consumption
continuously and communicate with devices in the home to measure and even
control the energy use of furnaces, air conditioners and other individual
appliances.
The ability to measure each household's energy use
throughout the day -- rather than simply capturing a usage total once a month,
as most meters now do -- would allow utilities to charge different prices for
peak and off-peak use, something they already do with many business customers.
The idea would be to encourage consumers to spread out their energy use or
reduce it outright so that utilities could avoid building costly new plants to
handle peak demand -- plants that consumers ultimately pay for. New bills could
show consumers what they're paying at different times of the day, giving them
the information they would need to adjust their consumption.
Advanced meters also can allow consumers to go online and
find out how much juice the refrigerator is using or how much gas the furnace
is burning. Some consumers can already do this in pilot programs. Eventually,
utilities aim to give consumers the ability to adjust the settings of their
appliances and energy systems online, and to see immediately how those
adjustments affect their costs and the utility's carbon footprint.
Utilities have tried smart-meter pilot programs for years,
but few gained much momentum until recently. With energy prices surging and concerns
over global warming growing, there's more incentive now to develop advanced
meters. Utilities say they're still feeling their way forward on this front, as
they are with more-detailed bills. "There's still work to be done to
figure out what people want to see," says Jim Rainear, general manager of
energy services for Duke Energy Corp. The utility is conducting smart-meter
pilot programs in North Carolina, South Carolina and Ohio.
Duke Energy also is exploring a number of other ways to
encourage energy efficiency. For instance, by midyear it hopes to have an
online tool available that will allow people to log in and answer a
questionnaire about the details of their energy use. The utility will then use
that information, along with its own record of the customer's energy use, to
help it suggest conservation measures.
Chicago-based Commonwealth Edison Co., a unit of Exelon
Corp., already has moved in that direction. Its customers can go online and
conduct home energy audits based on personal information and even compare usage
against people who live in similar homes. ComEd and Duke reached the same
conclusion: "We have got to get more personalized," says Casey
Mather, Duke's director of mass-market strategy.
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