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OhmGrid Billing vs Utility Billing

Chad Hagan
September 19, 2022

Surprise! Your bill has gone up!

While not pleasant like a birthday party or finding a dollar on the street, nearly every homeowner has encountered the surprise that is the monster utility bill.

Why do these unexpectedly high bills happen, and why are they happening more frequently than ever?

For the answers to these questions and how utility billing compares to OhmGrid, keep reading on.

Understanding Utility Billing

In order to understand these enveloped heart attacks, we first need to understand what all the charges on your electric bill actually mean.

...and anyone who's spent any time looking at a utility bill knows that understanding it is no small feat, so we'll try to keep it simple.

Our utility bills are based on how much energy we use, yes, but the amount we pay for that energy can vary wildly depending on a number of outside factors. Like...

Timing

Utility electricity costs more during certain times of the day. Generally referred to as "peak hours" because they are the times when the most people are using the most electricity, utilities increase prices as demand rises, which is usually around the time people get home from work. Supply and demand, right?

Using electricity during these hours is unavoidable for most, and can lead to unexpected price spikes on your utility bill.

Estimates & Corrections

Most utilities reserve the right to estimate your electricity usage instead of physically reading your meter, for pretty much any reason.

The initial estimates don't cause bills to skyrocket, as they're based on average usage, but if you ended up using more than estimated, it'll all be tacked on as a correction the next time your utility gets around to reading your meter.

This is made worse for customers who are on a "fixed" billing plan. A fixed plan means your utility estimates your usage every month based on your average historical usage. However, if it turns out you've been using more energy than expected, you'll have to pay months of corrections. This can lead to bills hundreds or even thousands more than expected.

Market Changes

The international energy markets are subject to constant change for a variety of reasons, ranging from regional pipeline disputes to world-shaking events like the Russian invasion of Ukraine. When the prices of energy commodities increase, even across the planet, so do the rates utilities are allowed to charge customers.

Delivery

Your utility power is delivered to you from power plants over thousands of miles of wires called transmission lines. Most utility electricity bills will include a charge for delivery, transmission, distribution or service, but what does this all mean?

All of these charges can be boiled down to a simple truth: utility infrastructure is expensive, outdated, and very fragile. The delivery fees on your bill go towards maintaining this infrastructure as it deteriorates. Even with the constant upkeep, there are an estimated $7 billion in upgrades needed to modernize the archaic grid. While these charges are less likely to fluctuate, it is not uncommon for delivery to increase if your regional grid experienced damage from storms or other natural disasters.


Receiving undecipherable and overpriced utility bills is never fun!

Future Uncertainty

Utility billing, even on "fixed" plans, is unpredictable. Now, more than ever, families need consistency when it comes to monthly expenses.

According to JD Power, more and more utility companies are going to have to look to customers to reduce their electricity consumption as the grid struggles to keep up with the electrification of daily life. Customers across the US are experiencing less reliable power while watching the cost of electricity skyrocket.

According to the New York Times, experts "...fear that electricity rates will rise at a rapid clip for years because utilities and regulators are realizing they need to harden electric grids against natural disasters linked to climate change like the winter storm that left Texas without power for days last year."

Comparison of average electricity price fluctuations over the past decade

Budget-Friendly Billing Made Simple

The outlook for utility billing is, well, not good.

Frequent inconsistencies, increased outages, and rapidly rising costs have many utility customers desperate for a modern solution that is reliable and affordable.

Off-Grid home power systems are quickly becoming a popular alternative to utility power, enabling homeowners to produce and use all their own electricity, eliminating utility bills once and for all. The problem with these systems is they can be extremely expensive, costing tens of thousands of dollars to install at your home. These kinds of big capital purchases are simply not realistic for many families, leaving them stuck with their regional utility.

That is, until now.

OhmGrid is the all-in-one subscription service that bundles together everything you need (and more!) to become energy independent, with no need to purchase anything.

The best part?

OhmGrid billing is based only on the cost of the system that powers your home, so the flat monthly price on your agreement is the price you'll pay forever. This allows homeowners to lock-in their electric expense long-term, making budgeting much easier with no risk of monster bills.

How OhmGrid Billing is Calculated

OhmGrid billing couldn't be more different from utility billing. It's paperless, it's easy to understand, and the amount you pay doesn't change. This is because you're only paying for your home, not a vast network of infrastructure that serves tens of thousands of other customers.

Your family's energy needs

Before signing up for OhmGrid, you'll need to complete your home energy profile. This simple form includes all the information our engineers need to understand how you and your home use electricity.

The Perfect Off-Grid System

Using your home profile, our experts match you with the perfect off-grid system to power your home. The system components, such as solar, battery storage system and generator, are all personalized so that you're getting exactly what you need.

Want all the equipment to be ground-mounted outside? No problem!

How about a solar pergola to shade your yard? Easy-peasy.

We customize your system based on what you need, and send you a proposal with your flat monthly price. Here is an example:

EXAMPLE: All-inclusive flat monthly pricing with no fluctuations or strange fees.


Reliability Guaranteed

We're so confident in the reliability of our systems that every off-grid OhmGrid subscription comes with our One-Minute Guarantee: If you lose power for even a minute, you'll get the whole day for free. If your system detects that you've had an outage for 60 seconds or more, we'll automatically reduce your next monthly payment.

Join the Off-Grid Revolution

OhmGrid is the easiest way to get off the grid. From installation to billing and service, our all-in-one subscription gives homeowners the confidence to switch from their utility and join the off-grid revolution.

Recent federal incentives make it a better time than ever to lock-in the lowest possible prices. To see what your flat monthly OhmGrid subscription would look like, complete your home profile today!

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