How to Read Your Electricity Bill
A line-by-line guide to understanding charges, fees, and usage data on your monthly statement.
Compare energy rates, understand your bill, and cut your monthly costs.
Learn about energy pricing, rate types, and ways to save.
Your utility bill is split into two main parts: supply and delivery. The delivery charge is fixed by your local utility, but the supply charge is where you can save money by shopping around for competitive rates.
Learn how it works →Residential customers can often lock in fixed rates to avoid seasonal price spikes. Whether you rent or own, understanding your usage is the first step to lowering your monthly electricity and gas bills.
Residential Tips →Commercial energy pricing depends on peak demand, load factor, and contract length. Switching suppliers can significantly reduce overhead for small and medium-sized businesses.
Business Strategies →Saving on your energy bill is simpler than you think.
Look at your current utility bill to find your "Price to Compare" or current supply rate per kWh or therm.
Research detailed market rates and plan types (Fixed vs. Variable) to find an offer that beats your current rate.
Select a plan that fits your usage habits. Lock in a rate to protect yourself from market volatility.
Expert guides to help you master your energy costs.
A line-by-line guide to understanding charges, fees, and usage data on your monthly statement.
Explore the pros and cons of locking in a rate versus riding the market waves.
Decode the units of measurement that determine how much you pay for energy.
Key questions to ask and red flags to avoid when switching energy providers.
Essential knowledge for business owners negotiating utility contracts.
How green energy plans work and how to support renewable power without breaking the bank.
Short answer. In a retail-choice state you can hire a different company to supply electricity or gas. The local utility still delivers it, still handles outages, and still charges you for the wires. Shopping is worth it only when the offer beats your utility’s supply price after fees.
Shop Energy Prices explains that decision. We are not a utility, not a retail supplier, and not a commission that licenses anyone. The form on this page sends your name and email so a follow-up can point you at plans. Read the guides before you enroll in anything. The state directory says whether your state even allows the switch.
National averages are context, not a target. The U.S. Energy Information Administration reported average residential use of 865 kWh a month in 2024 and an average residential price of 16.5 cents per kWh that year. In June 2026, EIA’s residential average revenue was 18.34 cents per kWh. Those numbers mix supply and delivery for the whole country. Your price to compare is only the supply piece, and it is printed for your utility, not for the United States.
No. The delivery utility keeps the wires and the outage crews. A switch changes the supply line on a future meter read.
Retail supply choice, in different forms, is available in Texas, Pennsylvania, Ohio, New York, Illinois, Maryland, New Jersey, Massachusetts, Connecticut, New Hampshire, Rhode Island, Maine, Delaware, and the District of Columbia. Michigan caps electric choice. California uses community choice and a capped Direct Access program instead of a statewide residential free-for-all. Start with the state guide for the rules, not with a national rate.
No. Compare at the kilowatt-hours you actually use, add monthly fees, and subtract any early termination fee you would pay to leave your current contract. Delivery charges stay either way.
Energy markets in many states are deregulated, giving you the power to choose your supplier. However, consumer protection is paramount. Always read your bill carefully and understand the terms of service.
Note: Before switching, we recommend contacting your current utility or a licensed energy broker to confirm your eligibility and ensure you understand any potential early termination fees.