Understanding Your Bill
Every electric bill breaks down the same way — here's how to read yours.
Understanding Your Bill
Every electric bill breaks down the same way — here's how to read yours.
Every electric bill — whether you're a school district, a business, or a farm — breaks down into three basic pieces:
Supply Charge — the cost of the actual electricity you use, priced by your supplier. This is the portion that changes when you sign a new contract.
Delivery Charges — what your utility (Ameren or ComEd) charges to maintain the poles, wires, and equipment that get power to you. These are regulated by the Illinois Commerce Commission (ICC) and stay the same regardless of which supplier you choose.
Taxes & Fees — state, local, and sometimes municipal taxes tied to your usage.
Why it matters: Only the supply charge is something you — or we — can shop around and negotiate. The delivery and tax pieces stay the same no matter who supplies your electricity.
Illinois' electricity market splits into two utility territories, and each runs under a different regional grid operator:
Ameren Illinois (Southern & Central Illinois) falls under MISO (Midcontinent Independent System Operator), which manages the wholesale power market and sets many of the capacity costs on Ameren-territory bills.
ComEd (Northern Illinois) falls under PJM Interconnection, a similar grid operator with its own separate capacity auction and cost structure.
Why it matters: Because Ameren and ComEd operate under different market rules, the cost drivers on your bill can look different depending on your territory — even for a similar-sized account. Clear Path works across both.
These two terms get mixed up constantly, but they measure different things:
kW (kilowatt) is a measure of demand — how much power you're pulling at a given moment. Think of it like the speed of a car.
kWh (kilowatt-hour) is a measure of consumption — the total energy used over time. Think of it as the total miles driven.
Why it matters: Your capacity charges are often driven by your peak kW demand, while your energy charges are driven by total kWh used. Managing both — not just your total usage — is part of what can lower your bill.
If you see "E," "EST," or "ESTIMATED" on a bill, it means the utility didn't take an actual meter reading that month — the charge is based on last year's usage for the same period, adjusted for weather. Utilities true this up in a later bill, so an unusual spike or dip isn't necessarily a mistake — check the next month's statement before assuming something's wrong.
We'll walk through it with you, line by line — no cost, no obligation.
618-924-5709 | Kathy@clearpathea.com