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: $5.00
| Tier 1 | Tier 2 | Tier 3 | |
|---|---|---|---|
| Kilowatt-hours (kWh) | 0–800 | 801–2,000 | Over 2,000 |
| Price (cents per kWh) | 8.6518¢ | 10.4033¢ | 12.3585¢ |
| Tier 1 | Tier 2 | Tier 3 | |
|---|---|---|---|
| kWh | 0–800 | 801–2,000 | Over 2,000 |
| Price (cents per kWh) | 8.0390¢ | 8.8627¢ | 9.8154¢ |
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 × 8.0390 cents (tier 1) = $64.31
250 kWh × 8.8627 cents (tier 2) = $22.16
= 1050 kWh = $86.47
If the same customer uses 2,225 kWh during the same time, the energy charge would span all three tiers:
800 kWh × 8.0390 cents (tier 1) = $64.31
1,200 kWh x 8.8627 center (tier 2) = $106.35
225 kWh × 9.8154 cents (tier 3) = $22.08
= 2,225 kWh = $192.75
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 × 8.0390 cents (tier 1) = $64.31
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.