What do the terms on my energy bill mean?
An example of an AI chatbot conversation about understanding energy bill terms.
What do the terms on my energy bill mean?
Energy bills can be confusing! Common terms include 'kWh', 'demand charge', and 'fixed charges'. What specific term do you want to know about?
What is a kWh?
A kWh, or kilowatt-hour, measures energy usage. It represents the amount of energy consumed if you use 1,000 watts for one hour.
What about the demand charge?
The demand charge is a fee based on your highest energy usage during a billing period. It's meant to cover the cost of providing enough power to meet peak demand.
And what are fixed charges?
Fixed charges are the base fees on your bill that cover the cost of maintaining the energy infrastructure, regardless of how much energy you use.
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