Understanding My Electric Bill

To help you better understand your electric bill, below is an example of a typical residential bill.

Billing Charge Definitions

Distribution Charge:

  • Distribution – recovers capital investments and operation and maintenance costs related to distribution infrastructure.
  • Capital Projects Scheduling List – recovers costs associated with the Company’s Double Pole Program, Manhole Program, and Stray Voltage Program.
  • Pension/PBOP Adjustment Mechanism - recovers costs associated with pension and post retirements benefits.
  • Residential Assistant Adjustment Clause – recovers the rate discounts provided to qualified low-income customers and costs associated with the Company’s arrearage forgiveness program.
  • Energy Efficiency Reconciliation Factor – recovers incremental energy efficiency program costs as approved by the Department of Public Utilities.
  • Long Term Renewable Contract Adjustment – recovers costs associated with long term renewable contracts that are in place to satisfy the requirements of the Green Communities Act.
  • Net Metering Surcharge – recovers the net metering credits given to customers who have installed on-site generation facilities.
  • Attorney General Consultant Expenses – recovers consultant expenses incurred by the Massachusetts Attorney General for review of various regulatory filings before the Department.
  • Smart Grid Adj. Factor – recovers the incremental costs associated with the Urban Grid and Distribution Automation program of the company’s Smart Grid Pilot.
  • Storm Cost Recovery Adjustment - recovers certain costs incurred in 2011 for Tropical Storm Irene and the October snowstorm.

Transition Charge:

  • Transition Charge – recovers cost of past investments in generation and supply that were stranded through deregulation.
  • Default Service Adjustment – recovers the difference between the amount charged to customers for Basic Service and the amounts paid to suppliers for such service.