Electricity providers use different terminology on your bills, which can sometimes be confusing. Here’s a quick guide to some common terms you might encounter on your power bill and what they mean!
Actual
This means your bill and usage has been based on an actual meter reading. This is when the data from your meter has been read – by a meter reader in person or remotely if you have a smart meter.
Estimate
An Estimated reading takes place if fpr some reason an ‘actual’ read didn’t take place. Your electricity retailers system will generate a estimate based on your last actual usage. If you estimate reading looks too high or too low, it’s best to have a chat with your provider so you don’t get shocked when you’re next bill and land out of pocket OR simply, put some money aside to ensure you’re covered when you’re billed again.
Daily Charge
Daily charge can also be known as a fixed charge A daily charge is a charge you incur every day, regardless if you’re using energy at the property or not. It is calculated as “cents per day”. Often it will show as ‘daily charge’ on your bill but sometimes may show as ‘fixed charge’.
Electricity Authority Levy Cost
This cost is included in your bill. This fee funds the Electricity Authority work, which regulates the electricity industry. The amount depends on how much electricity you use.
ICP
Referred to as installation control point. This number is used to identify every connection to the electricity network. Each house has a unique ICP number. It is linked directly to a property, not a person.
Kilowatt-hours (kWh)
kWh: Stands for Kilowatt Hours. This is how your meter measures how much power a household uses. On a power bill, you may come across units used on some bills instead of the term kilowatt-hours.
Meter
The device on your property that measures and records the amount of electricity you use. A serial number of your type of meter is included in your bill. You may have more than one meter installed in your house.
Retailer
A retailer is a company that sells energy to consumers. They’re the ones that bill you. For example, Contact Energy, Powershop and Genesis Energy are all retailers.
Network Company
Sometimes known as EDB’s or Lines Companies, these companies distribute the energy from the National power grid to consumers properties.There are a number of network companies that operate a section of the country, the network company in our area is called Counties Energy. They maintain the power lines, so if there’s a planned outage, they make sure everything is in good order and keeps everyone connected – it’s a big job! Otherwise, if there’s an unplanned outage due to bad weather, they will fix the power lines to get everything back up and running. Click here to see who the other network companies of NZ are and the areas they operate.
Pricing Plan
You and your electricity retailer agree upon a deal for your electricity plan. They usually depend on the amount of electricity and times you use it as to what plan is best for you. You may have different pricing plans depending on a type of meter you use, as well as your chosen payment method. Remember – it’s important to know if you are a LOW or STANDARD user to pick the right pricing plan for your household. Need help knowing which is why?