June 11th 2025.
Have you noticed a sudden increase in your electricity bill? If so, you're definitely not alone. Many households are facing rising costs that can be both frustrating and confusing. Shipley Energy is here to offer some insight into what may be causing your bill to skyrocket and provide tips on how you can lower it.
The reason behind your high bill is most likely a combination of different factors, as there are many issues that can contribute to a hefty electric bill. Keep reading to learn more about energy usage and discover ways to save money, or even design a low-rate energy plan for yourself.
We're here to help you pinpoint the issues and give you some useful tips on how to lower your electric bill. By following these quick links, you can easily jump to different sections of this article. So, let's get started and find out what's causing your bill to be so high.
First things first, let's address the question that's probably on your mind: Is my electric bill too high? Well, the amount you should expect to spend on electricity depends on various factors such as the type and size of your home, its location, and other significant elements. While there is no specific dollar amount that signifies a high bill, it can be helpful to have a point of reference. For example, did you know that the average monthly electric bill in the United States was $140.56 in 2024? If your household's electricity usage is pretty average and your bill is significantly higher than this amount, then it's safe to say that it may be too high.
If you're concerned about your electric bill being higher than usual, chances are you've noticed a gradual increase over time. There are several reasons why your bill may have gone up or why it consistently remains too high.
For starters, let's take a look at the top 10 reasons why your electric bill is so high. One of the biggest culprits is having devices that draw phantom energy. Did you know that even when they're turned off, many of your appliances and electronics that are plugged in continue to use energy? This is known as standby power, and it can add up to almost 10% of your household's total electricity usage. In fact, the average American home has 40 devices constantly drawing power, whether they're on or off.
Another common reason for a high electric bill is using old, inefficient appliances. Nowadays, appliances are designed to be more energy-efficient, so if you have older models in your house, they could be using up more electricity than necessary. This includes appliances such as dishwashers, ovens, refrigerators, freezers, washers, dryers, and water heaters. Two of the biggest culprits are refrigerators and clothes dryers, so if your appliances are on the older side, they may not be as efficient as they could be.
Another factor to consider is the type of lighting you have in your home. If you're still using traditional incandescent bulbs, chances are you're wasting energy. Switching to more energy-efficient options such as LED bulbs, compact fluorescent lamps, or halogen incandescent lamps can make a significant difference in your bill. Not only do these options use significantly less energy, but they also last longer.
Leaving lights or appliances on when they're not in use is another common mistake that can contribute to a high electricity bill. If you have children, it's important to educate them about the importance of turning off lights and electronics to avoid wasting energy and money. Even when you're at home, try to take advantage of natural lighting during the day, and turn off lights in rooms that are not being used.
One of the biggest contributors to a high electric bill is putting a significant demand on your HVAC system. For the average single-family household, heating accounts for up to 45% of annual utility costs, and cooling makes up 9%. If your HVAC system runs on electricity, then you can expect to see higher totals on your electric bill, especially if you use it frequently. This is why you may notice fluctuations in your bill during the harsh winter or scorching summer months, as you'll be using a lot more electricity for heating or cooling during these times.
Another factor that can contribute to a high electric bill is using a lot of hot water. Water heating typically accounts for around 18% of a home's energy consumption, and everyday activities such as washing dishes, doing laundry, and taking showers can require a significant amount of hot water. As you use hot water, your water heater needs to use more energy to heat it up. If your water heater runs on electricity, this can result in a higher bill.
Staying indoors more can also impact your electricity usage. As a result of the pandemic, many people have been staying home more than usual, whether for work, school, or other reasons. This means that the amount of energy you use will depend on how often you're inside your home. With employees and students working remotely, and many events being canceled, it's no surprise that those staying home, especially during the coldest and hottest parts of the year, are bound to have higher utility costs.
Furthermore, greater use of devices can also contribute to a spike in your electric bill. With more people working and studying from home due to the pandemic, there's a higher demand for electricity, as we rely on computers and other devices throughout the day. This increased usage can be a significant factor in your bill being higher than usual.
In some cases, using electricity during peak hours can also result in a higher bill. Certain utility companies have a time-of-use policy, where using electricity during specific hours can cost more than if you used the same amount during a different time of day. These peak hours usually coincide with times when there's a greater demand for electricity. With the pandemic causing many people to be at home during these hours, it's possible that you may be using electricity during peak hours more often than before. It's worth noting that the peak hours may vary depending on your supplier, time of year, and other factors. For example, peak hours may be in the morning during winter, and in the afternoon or evening during summer.
Last but not least, it's essential to consider the electricity rate when trying to determine why your bill is so high. The cost per kilowatt-hour can vary depending on your location and supplier, and rates can also fluctuate seasonally. For instance, you may notice a higher total on your bill during the summer, even if you used the same amount of electricity as you did in the spring. If you consistently notice high rates, it may be worth considering switching suppliers. While many people get their electricity supply from their utility company, some states have deregulated markets, giving customers the option to compare rates and switch suppliers.
Now that we've gone over the top 10 reasons for a high electric bill, let's take a look at some ways to lower it. It's not uncommon for electricity bills to catch us off guard, especially when the seasons change or our household's needs shift. However, with a few simple adjustments, you can make a significant impact on your costs.
If you've been feeling the pinch of a higher-than-usual electricity bill, you're not alone. Many households across the country are facing the same issue, and it can be frustrating and confusing. Fortunately, there are ways to address this problem, and Shipley Energy has some helpful suggestions for you.
The reason behind your high electricity bill is likely complex, as there are many factors that can contribute to a hefty total. But don't worry, we're here to guide you through this and provide you with tips to lower your bill and move towards a more energy-efficient future. Let's get started.
First, it's essential to determine if your electricity bill is indeed too high. The amount you should expect to spend on electricity depends on various factors, such as your home's type and size, location, and other significant factors. While there's no specific dollar amount that signifies a high bill, it may be helpful to know that the average monthly electric bill in the United States in 2024 was $140.56. If your bill is significantly higher than this, it may be too high.
If you've noticed a gradual increase in your bill over time, there are several reasons why this may be happening. As we mentioned before, the issue is multifaceted, and there are various factors that could be contributing to this problem. Here are ten possible reasons why your electric bill is so high:
1. Devices drawing phantom energy
Did you know that many of your appliances and electronics that are plugged in draw energy, even when turned off? This is called a phantom load or standby power, and it can add up to nearly 10% of your household's total electricity use. Most electronics and appliances today are designed to be in a standby mode rather than completely off when not in use. The average American household has 40 devices continuously drawing power, whether on or off.
2. Using old, inefficient appliances
Today's appliances are designed to be more energy-efficient than their older counterparts. If you have old appliances in your house, they could be using excessive electricity. This includes dishwashers, ovens, refrigerators, freezers, clothes washers, dryers, water heaters, and many other appliances throughout your home. The biggest culprits are refrigerators and clothes dryers. If your appliances are relatively old, they are likely not as efficient as they could be.
3. Lighting your home with traditional incandescent bulbs
If you're still using traditional incandescent bulbs, you're likely wasting energy. Energy-efficient lighting options such as light-emitting diodes (LEDs), compact fluorescent lamps (CFLs), and even halogen incandescent lamps use significantly less energy. So, if you're wondering why your electricity bill is higher than your neighbor's, it could be because their LED bulbs use 80% less energy than your incandescent bulbs do.
4. Leaving lights or appliances on
If you're not in the habit of turning off the lights, TV, and other appliances before leaving the house, you could be wasting energy while you're away. It's essential to educate everyone in your household, especially children, that leaving lights or electronics on unnecessarily wastes energy and money. Even while you're at home, if it's during daylight hours, you may not need lights on.
5. Putting significant demand on your HVAC system
For the average single-family household, heating accounts for up to 45% of annual utility costs, and cooling makes up 9%. If your HVAC system runs on electricity, then you'll see higher totals on your electric bill, especially if you place a high demand on your HVAC system. This is one of the primary reasons your electric bill fluctuates seasonally. During harsh winter or scorching summer months, you can expect to use a lot more electricity for heating or cooling than you'll use during milder times of the year.
6. Using a lot of hot water
Water heating typically accounts for approximately 18% of a home's energy consumption. Many everyday household chores and activities such as washing dishes, doing laundry, and taking showers, require a significant amount of hot water. As you use hot water, the water heater must use energy to heat more water. If your water heater uses electricity, using a lot of hot water can result in a high electric bill.
7. Staying indoors more
The amount of energy you use depends on how often you're inside your home. With the pandemic, energy customers have been staying home more than ever. Many employees and students have been working remotely, and lots of events have been canceled. Staying home, especially during the coldest and hottest parts of the year, can result in higher utility costs.
8. Greater use of devices
Those working or studying at home are not just lounging around—they're using computers and other devices throughout the day. If the pandemic has sent you home, you might be relying on a desktop or laptop for upward of eight hours per day. Heavier use of devices is one reason your electricity bill may have shot up.
9. Using electricity during peak hours
Some utility companies have a time-of-use policy, where using electricity during certain hours will cost you more than if you used the same amount of electricity at a different time of day. The hours when electricity costs more are referred to as peak hours, and there tends to be a greater demand for electricity during these times. If you use electricity during peak hours, you can expect a higher bill.
You might be using electricity during peak hours more often, thanks to the pandemic. With COVID-19 restrictions, you were likely to be at home during those hours. Please note that peak hours vary by supplier, time of year, and other factors. For instance, winter peak hours tend to be in the morning, while summer peak hours tend to be in the afternoon or evening.
10. Increased electricity rate
Electricity rates, measured in the cost per kilowatt-hour (kWh), vary from location to location and supplier to supplier. Rates can also fluctuate seasonally. In the summer, for instance, you may see a higher total on your bill even if you used the same amount of electricity as you did in the spring. If you consistently notice high rates, you may want to consider switching suppliers. Many people obtain their electricity supply from their utility company, but in deregulated states, you have the option to compare rates and switch suppliers.
Now that we've covered some of the reasons why your electricity bill may be high, you're probably wondering how you can lower it. Here are twelve ways to do so:
1. Unplug devices that aren't in use, or use a power strip to turn them off completely.
2. Consider replacing old appliances with newer, energy-efficient models.
3. Switch to energy-efficient lighting options, such as LED or CFL bulbs.
4. Get in the habit of turning off lights and appliances when not needed.
5. Use a programmable thermostat to regulate your HVAC system's usage.
6. Reduce hot water usage by taking shorter showers and washing clothes in cold water.
7. Try to spend more time outside of your home to reduce energy consumption.
8. Make sure devices are turned off when not in use, especially computers and other electronics.
9. Avoid using electricity during peak hours, if possible.
10. Compare electricity rates and switch suppliers if necessary.
11. Make sure your home is properly insulated to reduce energy usage.
12. Consider investing in solar panels or other renewable energy sources.
By implementing these tips, you can make a significant impact on your electricity bill and move towards a more energy-efficient future. Don't let a high bill discourage you - with some minor adjustments, you can lower your costs and save money.
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