Understanding electricity consumption

Before investing in solar power, it is important to have a clear understanding of what electricity consumption entails. Many people have no idea where to begin when it comes to calculating personal electricity expenses or understanding how electricity consumption varies between appliances. We’ve put together a simple guide to help you understand how your electricity bill is calculated.


How is the utility electricity price determined?


An independent collective of experts, known as the National Energy Regulator of South Africa (NERSA), determine the prices we are charged by utilities like electricity. The price of electricity is determined by considering the cost to the supplier and what a reasonable rate of return would be on the regulatory asset base.


NERSA currently operates on a 5-year Multi-Year Pricing Determination plan which is due to end in March 2018. This is done so that the increase in the cost of electricity per year is more predictable.


How is a unit of electricity measured?


While we measure the power of an electrical appliance in watts (W), the amount of energy converted in a one hour period is known as kilowatt-hours (kWh). Units of energy purchased for paid meters or displayed on our electricity bill are equal to the kilowatts of electricity consumed per hour. In other words, 1 unit of electricity is equal to 1000 watt-hours (Wh) or 1 kWh.


How much electricity will an appliance use?


An appliance will use its wattage worth of electricity in an hour, if left on and uninterrupted. In other words, a 100 watt light bulb will use 100 watt-hours of electricity in one hour and 200 watt-hours if left on for 2 hours.


Saving with solar


Cutting electricity costs with solar is easy, considering that some, if not all, of your electricity needs will be met by the energy generated by the solar system. Another of the many solar power advantages is that it protects you from the inevitable electricity price hikes of the future.


While still in the early stages, the idea that you will be able to feed excess generated solar power back into the national utility at a separate energy rate means that greater savings will be achieved when you have a low electricity consumption.


Turning your solar dream into a reality


Soventix strives to provide effective and efficient clean energy solutions that are tailored for the specific client’s needs. Through project development and solar financing, we can turn any solar dream into a reality.


Are you ready for a solar powered life? Contact us today and take the first step towards cheaper and cleaner living.

You can also contact us via:

Office number: +27 (0) 21 852 7333

Email: info@soventix.co.za


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