What is Average Billing?
Average Billing spreads out your electricity costs of a year so you have a better idea of how much you'll pay each month. It's a helpful tool that can make budgeting for your electricity bill more manageable.
How does Average Billing work?
Average Billing determines your current average monthly bill amount by calculating the annual cost and then dividing it equally across 12 months. If you do not have 12 months of usage at your service address, we will take the historical usage at that service address and apply your current price to calculate your Average Billing amount.
Your Average Billing amount is recalculated every month and will adjust as your usage changes. However, Average Billing is available to make your payments more manageable and predictable.
Understanding Average Billing
Think of it this way: When you use more electricity in higher-usage months, your bill will likely be less than the amount of electricity that you actually used. And in lower-usage months, your Average Billing amount will likely be higher than your actual usage cost to maintain balance throughout the year.
During high-usage seasons, a portion of your higher bill will be added to your deferred balance. By doing so, you’ll pay less during high-usage months and the deferred balance will be averaged into small installments on future Average Billing payments. The program works best if you stay on it for a full 12 months.
What is the deferred balance amount?
The deferred balance amount is the difference between your monthly Average Billing amount and what you’d owe if you weren’t signed up for Average Billing. Your deferred balance amount can be found on your monthly bill. If the amount is positive, 1/12 will be added to your bill. If the amount is negative, 1/12 will be subtracted from your bill.
Say goodbye to unpredictable bill amounts.
With the Average Billing program, seasonal highs and lows are a thing of the past. No matter what the weather brings, you’ll pay a similar bill amount all year long.