Understanding My Electric Bill
To help you better understand your electric bill, below is an example of a typical residential bill.
Please note, the numbers used below are for illustrative purposes only. More information about the delivery and supply charges demonstrated below can be found in the Rates & Tariffs section.
Customer Charge - This fixed monthly charge covers Eversource's basic costs for billing, metering and meter reading, customer service center, as well as making service available to customers, such as installing and maintaining meters, utility poles, power lines and equipment.
Distributed Solar Charge - Recovers the incentive payments, alternative on-bill credits, and incremental administrative costs associated with the implementation and operation of the Solar Massachusetts Renewable Target (SMART) Program. This is a new line item in 2019.
Distribution Charge – Recovers capital investments and operation and maintenance costs related to distribution infrastructure.
These items are included in the Distribution Charge:
- Attorney General Consultant Expenses – Recovers consultant expenses incurred by the Massachusetts Attorney General for review of various regulatory filings before the Department.
- Basic Service Cost True-up Factor – Recovers the difference between the amount charged to customers for Basic Service and the amounts paid to suppliers for such service.
- 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 Recovery Surcharge – Recovers the net metering credits given to customers who have installed net metering generation facilities.
- Pension Adjustment Factor - 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.
- Solar Expansion Charge - Recovers the capital costs and associated operating costs in the approved solar generation projects owned by Eversource. This is a new item in 2019.
- Solar Program Cost Adjustment - Recovers the capital investment in approved solar installations and associated operating costs, such as program administration, land lease and property tax costs. This is a new item in 2019.
- Storm Cost Recovery Adjustment - Recovers certain costs incurred during major weather events.
- Tax Act Credit – Cost savings returned to customers as a result of the Tax Cuts and Jobs Act of 2017.
- Vegetation Management - Recovers incremental costs associated with Eversource's vegetation management program, which is designed to reduce the number and duration of service interruptions caused by trees. This is a new item in 2019.
Energy Efficiency Charge - Collected to promote energy efficiency and is returned back to the customer through energy-efficiency measures, programs, services, incentives and rebates.
Renewable Energy Charge - Funds the development of new energy sources, such as wind, solar and water power, to reduce our reliance on traditional energy sources like coal and nuclear fuels.
Revenue Decoupling Charge - A charge or credit applied in order to balance Eversource's actual distribution revenue with the revenue level Eversource is approved to collect. Revenue Decoupling breaks the dependencies of revenue on sales and encourages energy efficiency programs. This is a new line item in 2019.
Supplier Services - The amount your supplier charges for making the electricity you use. Eversource purchases Basic Service through a competitive bid process for those that have not chosen a supplier. This price is the lowest available price on the competitive marketplace at the time of the bids and is passed onto the customer. Eversource then pays the supplier on your behalf. If you have chosen a competitive supplier, you will see that charge here.
Transition Charge – Recovers cost of past investments in generation and supply that were stranded through deregulation.
Transmission Charge - This federally-mandated charge covers the cost of transporting the electricity over the high-voltage (transmission) lines from the generation plant to Eversource's distribution system so we can deliver it directly to you. The transmission charge is collected by Eversource and passed on to transmission providers.