Understanding My Utility Bill
Definitions of the terms used on your Holland BPW bill.
Front Page
1. Due Date - The date your bill must be paid before any penalties are added.
2. Messages - This area includes information of Holland BPW services and activities the HBPW participates in.
3. Account Details - This area includes information specific to your individual account.
Back Page
4. Energy Charge - The electric current that is generated, produced and provided to you.
5. Rate EAR - Electric Residential Rate A
6. Delivery Charge - The cost of transmission and distribution which moves electricity from the power plant to local substations, and to your point of service. Electricity leaves the transmission lines at the substation where transformers reduce the voltage. Electricity then travels through distributions lines on poles or underground to neighborhoods. Finally, electricity passes through a meter to measure use in kilowatt-hour units that appear on your electric bill.
7. Readiness to Serve Charge - A monthly fixed charge that covers the expenses to maintain and service a customer’s account. This includes billing, metering and customer service. The Readiness to Serve charge also funds a portion of the capital investments in equipment, structures and meters as well as engineering and construction services.
8. Energy Optimization Charge - In 2008, the State of Michigan passed PA 295, directing electric providers to establish energy optimization plans and programs. This charge, as mandated, covers the cost of energy-efficiency programs.
9. Billing Days - The period of time for which your usage is being billed.
10. kWh - Stands for kilowatt-hour. One kWh is a measure of production. For example, a 1,000 watt window unit air conditioner turned on for 1 hour will use 1 kWh (1,000 watts x 1 hour).
11. Usage History Graphs - Display of your previous usage electric and water/wastewater for the past 13 months.
12. Meter Readings - Shows what the meter reading was for the Service Period for the present and previous dates.
13. CCF - Hundred Cubic Feet. The unit of measure for billing water and wastewater. One Hundred Cubic Feet equals 748 Gallons.
