On Mar 14, 7:56 am, Edge wrote:
In northern Illinois where I live, electricity is provided by ComEd.
However ComEd is really two companies. One delivers electricity and
the other generates electricity. In my last bill, that portion that
was billed for "Electricity Supply Services" accounted for only 55
percent of the total bill. As the guy who writes the checks, the
simple formula I use is Total Cost / kWh. This comes out to $0.149 per
kWh. On the bill the stated cost of a kWh is only $0.06968.

I agree with your assessment as far as your bill goes. However,
if you use ONE additional kwh, what is the additional cost ? I bet
it works out to .069 cents.

In my area, the bill has a "fixed" cost, whether I use any or not,
and
a "useage" cost, which is based on the number of kwh I use.

If I use NO electric power for that month, my cost per kwh using your
reckoning would be infinite. It's not unfair, just ambiguous. A
power
company has to cover it's fixed cost whether you turn on your lights
or not, since you want it to always be at the ready.

I think 14.9 cents per kwh is a bit on the high side, but not
unreasonabley so.