Residential prices for electricity are charged using tiered pricing. Tiered pricing means different prices are charged depending how much energy you use. The less energy a customer uses, the less energy the customer is charged at a higher prices. By staying in a lower tier, you pay less. Tiered pricing encourages customers to conserve energy and use it efficiently.
Residential Tiered Prices
Service charge per month: $15.00
| Tier 1 | Tier 2 | Tier 3 | |
|---|---|---|---|
| Kilowatt-hours (kWh) | 0–800 | 801–2,000 | Over 2,000 |
| Price (cents per kWh) | 9.9444¢ | 11.9577¢ | 14.2046¢ |
| Tier 1 | Tier 2 | Tier 3 | |
|---|---|---|---|
| kWh | 0–800 | 801–2,000 | Over 2,000 |
| Price (cents per kWh) | 8.7516¢ | 9.6484¢ | 10.6856¢ |
As an example, a residential customer who uses 1,050 kWh during March would be billed at the non-summer price. The breakdown of this customer’s energy charges according to the tiered price structure would be as follows:
800 kWh × 8.7516 cents (tier 1) = $70.01
250 kWh × 9.6484 cents (tier 2) = $24.12
= 1050 kWh = $94.13
If the same customer uses 2,225 kWh during the same time, the energy charge would span all three tiers:
800 kWh × 8.7516 cents (tier 1) = $70.01
1,200 kWh x 9.6484 center (tier 2) = $115.78
225 kWh × 10.6856 cents (tier 3) = $24.04
= 2,225 kWh = $209.83
If that same customer used only 800 kWh during the same time, the energy charge would fall only into the lower-price tier 1:
800 kWh × 8.7516 cents (tier 1) = $70.01
Being energy efficient saves you money!
Note: The information outlined here includes only what a residential customer will be billed for their energy charges. It does not include other items or charges found on your Idaho Power bill; therefore, your actual bill may be different.