3 Smart Ways to Lower Your Electricity Bills

Electricity rates are rising in many parts of the United States (and may be for the foreseeable future), which is putting pressure on already constrained household budgets.

According to a recent nationwide survey, about one-third of American consumers have already struggled to pay their electric bills in the past year. And this is likely to rise in the years ahead.

If you’re looking for ways to cut costs and take control of your home energy usage, you’re not alone. The good news is that there are simple steps you can take to lower your bills.

In this month’s blog, we look at three smart strategies that can help you save money and make your home more energy efficient:

1. Start with a home energy audit to see where you can save.

Think of a home energy audit like a check-up for your house. It helps you find out where energy is being wasted and what you can do to fix it. Audits can show you which upgrades, like better insulation, LED lighting or more efficient appliances, will make the biggest difference.

Many power companies offer energy audits at no or little cost, and some even provide free energy-saving kits that include items like LED bulbs and smart power strips. These small improvements can add up to big savings over time. If you haven’t had an energy audit, contact your power company and see if they offer one – it’s a great first step toward lowering your bills.

2. Explore new rate plans like time-of-use or flat billing.

Not all electricity rate plans are the same. For example, some power companies offer plans that could help you save money depending on how and when you use energy. One option is a time-of-use (TOU) plan. With TOU rates, electricity costs much less during off-peak hours – like at night or early in the morning. If you can shift some of your energy use to those times (running your dishwasher or doing laundry, for example), you could see real savings.

Another option is flat billing, which lets you pay the same amount each month. This can help you avoid unexpected spikes and can make household budgeting much easier. Before switching plans, check with your power company first. Many offer free tools or analysis to help you figure out which rate plan will work best for your household. Choosing the right one could lead to lower bills without changing much about your daily routine.

3. Get money back on your electric bills with demand response.

Did you know you can actually earn money back on your electricity bill by helping the grid during peak times? It’s called demand response, and it’s a win-win for you and your utility. Here’s how it works: during times of high demand, like hot summer afternoons, your power company may ask you to reduce your energy use for a short period through a mobile app, text, email or other method. By agreeing to participate, you can get bill credits or other rewards.

If you already have a smart thermostat, you’re likely ready to participate in a demand response program as these devices can automatically adjust your settings to use less energy after receiving signals from your power company. Plus, some power companies will even provide customers with a free or heavily discounted smart thermostats if they agree to enroll in a demand response program.

Electricity costs may be rising, but you don’t have to face higher bills alone. From free energy audits to smarter rate plans and demand response programs, there are plenty of ways to take control of your energy use and save money. Reach out to your power company to learn more about the rebates, tools and programs they offer. A quick phone call or website visit could lead to real savings on yourmonthly bill.