Electricity basics

What does a kWh cost?

A kilowatt-hour, or kWh, is a unit of energy. If a 1000-watt appliance runs for one hour, it uses 1 kWh.

How cents per kWh becomes dollars

Multiply energy use by your electricity rate. For example, 30 kWh at 16 cents per kWh costs about $4.80 before any fixed charges or taxes.

Why your bill may not match a simple calculator

• Some plans use time-of-use pricing, so evening electricity can cost more than overnight electricity.
• Bills can include delivery charges, riders, taxes, and fixed monthly fees.
• Appliances like refrigerators, air conditioners, and dehumidifiers cycle on and off.

Recommended estimate workflow

1. Find the appliance wattage or measured kWh.
2. Use your utility bill to find the delivered rate when possible.
3. Estimate normal runtime, then test a high-use scenario.