Reduce Your Electric Bill

Electrical Meter

Electric bills always seem to be going up. Wouldn’t you like to find a way to reduce your electric bill? To reduce our electric bill, we usually think of ways to use less electricity, which is a good thing. You can reduce your electric bill by making your house more energy efficient. You can reduce the wattage in the lights in your house. I’m not a fan of Compact Fluorescent Light Bulbs, as I’ve written in an earlier post to this blog. But advances in LED technology are quickly changing the way we produce light and much lower electrical consumption. Although it helps, changing light bulbs is not the quickest way to reduce your electric bill. You can immediately reduce your electric bill by 20% to 40% by installing a Computerized Energy Management System.

One company I’ve worked with here in North Carolina is Smart Energy Solutions. They have a computerized system that manages the big consumers of electricity in your house, like water heaters, air conditioners, dryers, and such. Here’s how it works. In the background, without any noticeable change in your daily living habits and convenience, this system prevents the big electricity consumers in your house from coming on simultaneously. The dryer might wait to start its heating element until the air conditioner is done with its cycle, for instance. This prevents peaks in your electrical usage from occurring and levels out your electrical consumption throughout the “on-peak” period. In most places, the “on-peak” period is usually from around 8:00am through early evening during the weekdays.

To get the money savings with this system and reduce your electric bill, you switch from having the electric company bill you on the normal “residential rate” and bill you on the “demand rate” instead. The way the demand rate works is the power company can monitor your consumption and based on the highest peak usage they monitor during the on-peak hours, they establish the rate you will pay. The higher the peak, the higher your rate will be. If you keep the peaks low, the cost per kilowatt hour will be less.

This is the same way industries have paid for their power for years. Now there is this smaller system for your home. It manages the peaks in your demand, thus reducing the rate the power company can charge you, thus reducing your electric bill. And best of all, you never know it’s doing anything because it doesn’t change anything about the way you live. Plus, you are helping the environment.

You might be wondering how this helps the environment if you are still using the same amount of electricity but just paying less for it. Well, if everyone had this system, the power companies would not have to produce as much power. They would not have as high a demand to meet during high-peak periods. You might already realize that power generating plants can’t be setback from hour to hour like your thermostat. They keep generating the same amount of electricity almost twenty four hours a day. And that amount must be enough to fulfill the highest demand. If the peak demand could be limited, less electricity would need to be produced. That means less fuel will be consumed, less pollution will be produced, and fewer new power plants will have to be built. So this is why a computerized energy management system is a very “good deed” for the environment and for your wallet. You’ll be reducing pollution, preserving fuel resources, and reducing your electric bill all at the same time.

You can learn more about designing your house to be energy efficient by reading Designing Your Perfect House. It’s contains lots of tips on passive solar design and energy efficient building.

We would love to here your experiences with energy savings. Post a comment and share it with us.

Bill Hirsch

Bill Hirsch

1 Comment

  1. light bulbs on November 6, 2009 at 10:34 am

    Keep working ,great job!

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