Electric "budget billing" cost (condo, appliances, credit)

[eastcoastgal182]

Hello.. I signed up for budget billing through PSNH, since well, like most people I am on a budget, I am supporting myself and my boyfriend in a one bedroom apt. I am trying to get my bills in order so i can plan out expenses. I tried calling PSNH and asking them the information, but he confused me even more, its says the budget billing is something like $58 does that mean my bill will always be $58 or does that mean it starts there and go higher?? Has anyone used this, or have any clue on what a one bedroom apt should cost for electricity, we have free heat so thats no issue.. But we run 2 computers, (gamers) and I am afraid that is going to raise it. CAN ANYONE HELP me understand .. Thank you

[GregW]

Our two bedroom condo cast over $300 to heat, light and power over the last two months. PSNH charges very high electric rates.

[eastcoastgal182]

Well... I have free heat, and our one bedroom is pretty small. We unplug all un used appliances so there is no vampire costs... hopfully I wont pay alot.

[GregW]

IIRC the PSNH retail rate is 0.16 (sixteen cents) a kilowatt hour. Or $1.60 for running a one kilowatt space heater for ten hours.

[BF66389]

Here is the direction from PSNH:
---------------------------------
The Budget Billing Plan
The Budget Billing Plan is a free service that helps to manage your expenses by equalizing monthly electric bills.


Once enrolled, we’ll forecast the cost of electricity for the coming year by looking at the amount of energy used at your address for the same time period last year, then divide your projected annual energy costs into equal monthly payments.

• Total Energy Use Last Year / 12 months = Budget Billing Amount
• By equalizing your payments over a 12-month period, you avoid the seasonal peaks associated with heating and cooling months.
• Reviews are completed monthly. If there is a significant difference, the budget amount will decrease or increase accordingly.
• Once a year, a settlement bill is calculated and credit or debit balances that are left after the annual review, will be included in the next year's budget calculation.

----------------------------

So in short they attempt to make your payments as level as possible by initially calculating your monthy bill by taking all of last years usage and dividing it by 12. HOWEVER, when they adjust each month if you are running below/above the previous year they probably use a smoothing algorithm (otherwise your bill wouldn't remain very flat)- what this means is that if you have a lot of sudden spikes in your usage compared to the previous year or if you are consistantly running higher (but at a rate so much higher that your payment rate doesn't catch up) you could get hit with a large bill at the end.

Now with that said- you can still track your actual energy usage data online and see what your bill would have been under normal billing; and then plan ahead for any such spike bills...etc.