Fixed Delivery Billing Plan – Billing FAQs
On the Fixed Delivery Billing Plan, only your delivery charges are determined differently than they were on your old plan.
Your bill is made up of three parts:
- Supply Con Edison buys the electricity you use from the companies that generate it and pass those costs on to you, without taking a profit—what we pay, you pay. Customers who receive their energy supply from an energy service company (ESCO) will continue to do so.
- Delivery Your delivery charges are what you pay Con Edison to bring electricity to your home. On the Fixed Delivery Billing Plan, they are based on the days your home used the most electricity during an hourly period in the 12 months prior to each year you’re on the plan. Delivery is the only portion of your bill that will change on the Fixed Delivery Billing Plan.
- Taxes Local, state, and federal taxes are applied to both the supply and delivery portions of your electric bill.
Your bill will look the same as your previous bills, except now you’ll see your fixed delivery level and charges under the delivery portion of your bill. On the Fixed Delivery Billing Plan, your delivery charges are billed based on kW usage, and your supply charges will continue to be billed based on kWh usage.
Kilowatts (kW) measure demand, which is based on the most energy you use during a 60-minute period. Kilowatt-hours (kWh) measure usage, which is the total amount of energy you use in a billing cycle.
It’s like the difference between a car’s speedometer and odometer. The speedometer records a car’s speed at a specific moment in time (that’s the demand), similar to how your new delivery charges will now be measured. The odometer records the number of miles a car travels over time (that’s the energy use), similar to how your standard delivery charges are measured.
As a customer enrolled on the Level Payment Plan, you can also enroll on the Fixed Delivery Billing Plan. The Level Payment Plan is a budgeting plan to help you manage your annual energy payments, while the Fixed Delivery Billing Plan is a billing plan that changes the way you are billed for electric delivery and provides more opportunities to save on your costs.
Under the Fixed Delivery Billing Plan, only the delivery portion of your bill will be the same every month for 12 months, whereas on the Level Payment Plan, your entire annual energy costs are spread out evenly across the year into 12 monthly payments.
At the end of the year, you may owe a difference under the Level Payment Plan if your actual energy use (and costs) exceeds your budgeted energy payments, whereas under the Fixed Delivery Billing Plan, you do not owe a difference, even if you exceed your fixed delivery level.
Fixed Delivery Billing Plan’s delivery charges are a monthly average based on a 12-month period, while your previous bills will reflect actual monthly costs that can vary from month to month. Remember, delivery costs on previous bills are measured in kWh usage, while the Fixed Delivery Billing Plan’s delivery charges are measured in kW usage.
You can compare the cost directly, but not the usage. Once you’ve begun to receive bills on the Fixed Delivery Billing Plan, you can log into My Account to compare what you paid on the Fixed Delivery Billing Plan to what you would have paid on your old plan. You can also call us to compare your bills at 212-358-4561.
Your fixed delivery level is calculated based on your usage history for a 12-month period prior to your first bill on the plan. Your average monthly demands from a 12-month period are averaged to determine your fixed delivery level as measured in kilowatts (kW). Kilowatts (kW) measure demand, which is based on the most energy you use during a 60-minute period. Your home’s kW consumption is recorded by your smart meter. Con Edison determines your highest daily demand (60-minute period) each day based on your highest use during peak hours and off-peak hours. The top 3 maximum daily demands that occurred during your billing cycle during peak hours and during off-peak hours are averaged to determine your billable demand for each month and then averaged to calculate your monthly fixed delivery level.
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