Your Energy bills Explained...
Unit rate, kWh, standing charge – have these terms got you scratching your head? While we do our best to keep your energy bills as easy to understand as possible, we know that it can sometimes feel as if you’re reading a foreign language. So, we want to help!
Check out our guide to understanding your energy bill.
What can you expect to see on your bill?
**** All of our tariffs have a name - this makes it easier for you to check out the benefits you’ll receive. An example of one of our most popular billed tariff names would be ‘Smart Energy Credit’, but you can find a full list on our domestic energy tariffs page.
Let’s keep it simple, here’s a breakdown of the key terms that you’ll find on your gas and/or electricity bill:
Energy Tariff Name:
All of our tariffs have a name. This makes it easier for you to check out the benefits you’ll receive. You can find a full list on our domestic energy tariffs page.
Your estimated monthly cost:
This shows your estimated monthly energy cost. While we try to make this as accurate as possible using data from your meter, this could go up or down depending on your energy usage.
Your energy use:
Similar to your estimated monthly cost, your energy use is based on your monthly consumption using actual data from your meter (where possible) – just shown in kWh rather than in pounds and pence. If you have an estimated bill, it’s worth giving us a meter reading so we can bill you accurately.
What is a kWh?
A kWh, or otherwise known as a kilowatt hour, is a measurement of how much energy you’re using. But to add to the confusion, a kWh isn’t a measurement of the number of kilowatts you’re using per hour – despite the name. Instead, a kWh is the amount of energy you’d use over an hour, for example 1kWh is the amount of energy you’d use if you kept a 1,000-watt appliance running for one hour.
Unit Rates:
A unit rate is the amount that you are charged for each unit of energy. Utilita break this down into two or three unit rates, depending on the tariff you are on.
Customers who are on our Smart Energy Prepayment tariff will have a first rate (for the first 2 kWh of energy used per day) and a saver rate (this applies to the remainder of the energy used throughout the day). Customers who are on our Smart E7 Prepayment tariff have a first rate (this is the rate for the first kWh of energy used during daytime hours), saver rate (this applies to the remainder of daytime energy used throughout the day) and night rate (this applies for all night usage).
If you’d like to find out your unit rate, simply log into My Utilita and visit your ‘Account’. Alternatively, you can check your tariff on your In-Home Display or check out our tariffs online.
Tariff end date:
The tariff end date is essentially the energy contract end date. Most suppliers charge an early exit fee if you leave before this date. Utilita doesn’t lock you into a contract though, so the tariff end date on your Utilita domestic energy bill will always say ‘No end date’.
Standing charge:
A standing charge is a daily fixed rate that most energy suppliers will charge just for supplying energy to your address – but not us! We charge only for the energy you use, so you won’t pay a penny if you don’t use any energy.
Exit fee:
Otherwise known as termination fees or cancelation charges, this is the amount most suppliers will charge if their customers want to switch before the end of their contract. Not Utilita though – we want the best for you, so we don’t charge our domestic energy customers any exit fees.
Why do energy bills change?
We understand that price increases are never welcome, so it’s important to us that our customers know why – along with helpful tips to help you save energy and money.
The Price Cap:
Every 6 months, Ofgem (the energy regulator) review the maximum price that suppliers can charge customers in the UK – this is called the energy price cap. The price cap has increased recently due to energy wholesale costs (the amount that energy suppliers pay for the energy we supply to households), but this can go down too – fingers crossed for a drop in wholesale costs!
Wholesale costs:
As you’ve probably seen in the news, wholesale energy costs are at an all-time high – but what does this mean? Wholesale costs are how much your energy supplier must pay for the energy that they supply to your home. So, when there is less availability and an increased global demand, wholesale prices rise and vice versa.
…However, we want to help you use less energy and save money! 🤑🤑🤑🤑🤑
Yes, you read that right – Utilita are the only energy company created to help households use and waste less energy. So, while the upcoming price rise is definitely unwelcome, we’ve got loads of ways that you can start saving money on your energy bills and do your bit for the planet too.
You don’t have to be an ‘energy expert’ to save on your bills - we’ve made it super easy with Smart Score! Our customers can save £££ with the innovative energy saving feature in My Utilita, all you need to do is make small, simple changes at home to improve your Smart Score rating. And the best part…We do the hard work for you! Smart Score shows how energy efficient your home is and where immediate savings can be made, plus you’ll be given daily ratings based on how you use your electricity and gas, with tips and tricks to improve your score. What are you waiting for? See how much you could save with Smart Score in the My Utilita app. 📲
Want to knock £££’s off your energy bill? ⚡ Check out our Energy High 5 tips to find out how you could protect the planet and your pocket by making five simple changes to the way you use energy at home.
Last edited by Rebecca; 13-04-22 at 09:29.
