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Michigan Energy Choice >
Changes to Your Energy Bill
Customers will also see separate charges for
both supply and delivery on their bill starting in January. This
is in an effort to help you understand your energy costs better.
You will see charges for your energy delivery (distribution) as follows:
- Energy Charge. The energy charge varies with the amount of
electricity you use. Electricity is measured in kilowatt-hours
(KWH). You are charged for each KWH of electricity you use for
the delivery of electricity.
- Customer Charge. This is a fixed charge. It covers costs to
operate and maintain electric facilities and provide customer
service support.
You will see charges for your energy (power) supply listed as:
- Energy Charge. Again this charge varies with the amount of
electricity you use. This usage amount is for the actual electric
supply you use.
- Power Cost Adjustment. This charge accounts for any difference
in an energy supplier's costs of producing or purchasing electricity
to meet your needs. It appears as a credit or charge on your bill
based on how actual costs compare to the Energy Charge.
Although the charges are split, the total amount
of your bill has not changed at this time. In the future, if you
choose an Alternative Energy Supplier as part of the new Michigan
Energy Choice program, the electric supply portion of your bill
may change. The local delivery service charges will not change.
If you choose to buy your electric supply from
an Alternative Energy Supplier, you will receive two bills-one
from the AES for energy supply and one from Upper Peninsula Power Company
for delivery service. |