Electricity costs are nearly 5% higher than a year ago
Electricity bills are more quickly growing expensive than groceries and other costs.
Prices for electricity rose 4.9% in July 2024 from a year ago,more than quadruple the 1.1% increase in grocery prices over the same period, according to the Consumer Price Index, a bellwether of inflation.
Since September 2023, jumps in electricity prices have outpaced grocery costs.
The entire CPI rose 2.9% in the past year through July, which is more than double the rise in electricity costs.
"The latest electricity inflation numbers arent a wake-up call, theyre a siren,"said Paul Cicio, chair of the Electricity Transmission Competition Coalition, an industry group pushing for changes to financial rules in electricity infrastructure.
How to lower electric bills?
The nonprofit Natural Resources Defense Council, citing the U.S. Department of Energy and Energy Star,said there are simple tips to saving money on an electric bill, including:
- Seal windows, doors and air leaks:Up to a third of a home's heat loss happens through windows and doors. Caulking leaks can save a household 10% to 20% on yearly heating and cooling bills.
- Close curtains:Keeping window coverings closed during winter can cut up to 10% in heat loss in a room. It is also a good idea to keep curtains closed in summer.
- Adjust the thermostat: Turning down the thermostat when sleeping by 10 to 15 degrees can save 10% in heating bills.
- Turn on a fan:A ceiling fan uses 10% of the energy of a central air conditioning unit and can make a room feel 10 degrees cooler.
- Inspect, clean and replace filters:Make sure filters on your furnaces and air conditioners are clean, which will reduce their workload. If they are in bad condition, replace them.
- Efficiently use electronics: Put your phone, laptops and tables in energy saver mode. Shut down devices you aren't using.
- Cook, clean and wash with less energy: Cold water is very effective at cleaning clothes. Don't open oven doors unless needed. Lowering the temperature on a water heater from 140 to 120 degrees can also save hundreds of dollarsa year and may not notice the difference.
- Buy efficient lights: Get LED bulbs when replacing lighting. LEDs throughout a house can save a home more than $100 a year.
The government's role
Changes in policycould lowerelectric bills.
The Electricity Transmission Competition Coalition said the U.S. government should require a more open bidding process among companies for building transmission lines, which would lower costs for consumers.
Tens of billions of dollars of transmission lines are built without a competitive bidding process.
Electricity price inflation, driven by accelerating electricity transmission costs has emerged as one of the biggest challenges facing homeowners, farmers and businesses," Cicio said.
"Competitive bidding of projects can provide legally binding cost caps and the accountability measures that consumers deserve to avoid higher monthly electricity bills," he added.
Photo Credit: Consumer Affairs News Department Images
Posted: 2024-08-15 16:05:09
