Sneaky, unexpected electricity charges: How to catch them on your power bill

Most of us glance at our power bill, wince at the total, and move on. But lurking in those fine-print details are sneaky little charges that could catch you by surprise. Understanding these tactics is the first step to fighting back and saving money.

Arbor shares the most common tricks and how to spot them:

Mysterious fees and charges

Ever noticed vague charges like "customer service fee," "delivery adjustment," or "energy cost recovery?" Utilities often bundle these fees into your bill, making them sound necessary or unavoidable. While some fees are legitimate, others are simply ways to pass operational costs onto customers.

How to catch it

• Compare your bill from one month to the next.
• Look for new or unexplained line items.
• Call your utility and ask for a detailed explanation.

Time-of-use rates without clear notices

Time-of-use, or TOU, rates charge you more for electricity during peak hours, but not all utilities make it clear when these hours are. If you're running appliances during peak times, you might be paying double or triple the rate.

How to catch it:

• Check your bill or utility's website for TOU details.
• Adjust your usage to off-peak hours, like running your dishwasher or doing laundry at night.

Estimated billing

When utilities can't or don't read your meter, they often estimate your usage based on past bills. If their estimate is high, you're overpaying—and you might not notice unless you scrutinize your bill.

How to catch it:

• Look for the word "estimated" on your bill.
• Compare your usage to the same period last year.
• Request an actual meter reading if you suspect the estimate is off.

Rising default electricity supply rates

Utilities sometimes increase their base rates (the cost you pay per kWh) quietly, burying the notice in legal jargon. Even if your usage stays the same, your bill goes up.

How to catch it:

• Check your supply rate line item on your bills.
• Watch for announcements of rate changes in your mail or email.

Renewable energy opt-ins you didn't request

Some utilities charge extra for renewable energy programs and enroll customers without explicit consent. While supporting clean energy is great, you should choose how much you want to pay for it.

How to catch it:

• Look for charges labeled "green energy" or "renewable energy surcharge."
• Opt out if you didn't agree to participate or misunderstood the terms. 

Hidden late payment penalties

Utilities can tack on late fees for payments received even a day past the due date. They may also charge reconnection fees if your service is interrupted. These fees can add up quickly.

How to catch it:

• Set reminders for payment deadlines.
• Sign up for auto-pay if your budget allows.
• Negotiate with your utility if fees seem excessive.

Seasonal rate spikes

Utilities often increase rates during summer and winter, citing higher demand. While some increases are legitimate, others are disproportionate and hit your wallet harder than necessary.

How to catch it:

• Compare seasonal bills year-over-year.
• Research whether your state allows utilities to impose seasonal rates.
• Look for lower, fixed rates if you are in a deregulated energy market.

Understanding these charges is one thing—stopping them is another. Start by asking questions: call your utility and have them explain specific charges. Use online tools to analyze your bills and uncover better rates. Stay informed by checking consumer advocacy websites and forums to learn from others' experiences. By taking a closer look at your bill and understanding your options, you can address unexpected charges and likely save money.