Light Bills High?
Find Out Why...
Energy bills in South Carolina are rising. Many households are struggling to keep up.
This site will help you understand what is driving your bill and how to take action
South Carolina households, small businesses, and even faith centers pay some of the highest energy bills in the country
Understanding Why Your Light Bills Are High and Steadily Rising
Extreme Weather
Record heat and cold snaps significantly increasing total kilowatt-hour consumption which raises bills
Grid Infrastructure
Utility companies are investing billions in new plants and grid expansion. Those costs are passed on to customers via rate hikes
Fuel Costs
Fluctuations in methane gas (often called natural gas) and coal markets directly impact the price of power
Energy Inefficiency
Poor insulation, needed -but often expensive- upgrades, old HVAC systems or outdated heating and cooling systems, and air leaks in homes allow energy to escape, forcing homes to work harder
Demand
Rapid buildout of high energy users, including data centers, places strain on shared energy resources. Forcing rates to skyrocket while also causing power instability (blackouts, unreliable connections)
Policy
Legislative and regulatory decisions shape base rates and monthly service fees on light bills
Understanding Your Bill
Your monthly statement is a combination of your household's energy usage and various other costs assessed
Breaking down four key components helps show what truly drives the totals households see each month
01
Usage
On an energy bill, “Usage” refers to the total amount of electricity (or natural gas, depending on the utility) a household consumed during the billing period.
It is usually measured in kilowatt-hours (kWh) for electricity, which is the standard unit for tracking energy use
What a kilowatt-hour means:
1 kWh = using 1,000 watts of power for 1 hour
Ex: A 100‑watt light bulb running for 10 hours uses 1 kWh
A 2,000‑watt space heater running for 30 minutes also uses 1 kWh
In the Usage Summary section, a bill will list the total kWh used for the month. This number is calculated by subtracting the previous meter reading from the current reading
Seasonal changes can affect usage.
Ex: Higher summer bills if air conditioning is used, or higher winter bills if electric heat is used
02
Rate
The cost per unit of energy used. On an energy bill, the “rate” is the price per unit of electricity charged for each kilowatt-hour (kWh) used. Usually expressed in cents per kilowatt-hour (¢/kWh) and is the core cost multiplier used to calculate electricity bill.
These prices are determined by fuel costs and regulatory decisions made by the Public Service Commission (PSC)
How it works:
Monthly electricity bill calculated by:
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Multiplying total electricity usage by the rate
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Adding any other fees (delivery charges, taxes, or service fees)
For example: if rate is 15¢/kWh and use 1,000 kWh in a month:
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Electricity cost = 1,000 × $0.15 = $150.
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Add delivery or other fees to get total bill
Why it matters
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Rate differences explain why bills vary even if usage is the same. A higher rate means more money for the same amount of electricity
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Rates can change over time due to fuel costs, maintenance, taxes, or market conditions
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In some states (not SC), households can compare rates from different suppliers to find a lower cost
03
Fees & Riders
On an energy bill, fees are fixed or recurring charges that cover the costs of delivering and maintaining service. These are standard charges that utilities keep on your bill each month, regardless of how much energy you use.
Riders are additional charges or credits that adjust a household's bill based on specific factors
Fees are typically fixed monthly charges that do not depend on how much energy a household uses.
They cover:
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Delivery/distribution charges for moving electricity or gas through the grid
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Customer/service charges for meter reading, billing, and account maintenance
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Basic service charges for being connected to the utility’s network
These fees are usually a flat amount per month
Riders are variable adjustments to your bill that reflect temporary or special costs or credits
They can:
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Increase your bill when utility costs rise
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Decrease your bill when there are credits
Common examples of riders include:
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Fuel cost adjustment rider – passes through changes in the cost of generating electricity or supplying gas
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Renewable energy rider – funds the purchase of renewable energy credits to support clean energy projects
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Efficiency/energy management rider – covers costs for programs that reduce peak demand and promote energy savings
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Storm recovery rider – recovers costs for repairing infrastructure after major weather events
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Weather normalization rider – adjusts bills based on seasonal heating or cooling needs
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Why They Matter
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Fees ensure you pay for service even if you use little energy
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Riders allow utilities to recover fluctuating costs or fund community benefits, but can cause a household's bill to vary from month to month
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Tip: Review your bill’s rider section each month. If you notice unexpected changes, you can contact your utility to understand the reason
04
Fixed Charges
Base monthly service fees required for power connection and account maintenance. These stay the same regardless of usage habits.
Flat monthly fees paid regardless of how much electricity is used. They are also called Customer Charges or Service Charges and are designed to cover the utility’s costs for providing service.
They Cover:
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Infrastructure maintenance – power lines, substations, meters, and other delivery equipment
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Administrative costs – billing, meter reading, customer service, and record-keeping
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Reliability – upgrades and maintenance to ensure consistent power supply
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Basic service delivery – the cost of keeping the account active and on the grid
How They Differ from Energy Charges
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Fixed charges: Constant monthly fee, not based of usage, covers overhead and infrastructure
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Energy charges: Vary based on kilowatt-hours (kWh) consumed, covering the actual cost of electricity generated and delivered
Why They Exist:
Utilities include fixed charges to:
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Recoup costs for maintaining the entire delivery system, even if little to no electricity is used
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Spread fixed costs across all customers, regardless of consumption levels
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Provide a stable revenue stream for the utility
Impact on Bill:
If usage is reduced, the percentage of the bill that is fixed charges increases, which can make the bill less predictable
Conversely, if a household uses a lot of electricity, the fixed charge is a smaller share of the total
Examples:
On a bill, fixed charges might be listed as:
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Customer Charge
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Basic Service Charge
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Fixed Service Fee
They appear alongside your variable energy charges, taxes, and surcharges to make up the total amount due.
In short: Fixed charges are the “base fee” for having electricity service no matter how much you use
Typical Energy Usage Ranges
Typical Power Usage Ranges Nationwide
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Small apartment: 400–600 kWh/month
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Medium home: 800–1,000 kWh/month
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Large home: 1,200–2,000+ kWh/month
National average: ~900 kWh/month
Understanding High Energy Burden
A large portion of South Carolinians pay far too high of a percentage of their income for power.
Those conditions are worse among rural, poor, and marginalized populations - especially Black people and people of color.
Energy burden rates are also higher among elderly households and disabled individuals.
Energy burden is the percentage of a household's income spent on utility costs. Any percentage above 6% is considered high energy burden.
This systemic issue is driven by low wages, rising demand, and an aging grid. For many households, high bills are not just a matter of switches and lights, but a result of living in homes that are difficult and expensive to cool and heat.
These conditions result in an impossible where they are forced to choose between power, food, or medicine.
Use Sierra Club's free Energy Burden Calculator to analyze your home's energy burden rate
Infrastructure & Rising Demand
Data centers and other major industrial expansions require massive, constant energy use, necessitating expensive infrastructure upgrades and grid expansions.
The associated costs are shared across all customers.
That growing demand and buildout could drive energy bills even higher
System-Level Solutions
- Efficiency programs for all households
- Income-based billing and relief plans
- Clean energy grid investment strategies
- Advocacy for fair energy policy changes
Household Actions
- Switch to energy-saving LED lighting
- Optimize heating and cooling settings
- Seal windows and doors against air leaks
- Maintain filters for peak HVAC efficiency
It's important to note that individual changes are inadequate to significantly and consistently decrease light bills
Policy & Advocacy
South Carolina's energy costs are directly shaped by the regulatory decisions and policy frameworks established by the South Carolina Public Service Commission and State Lawmakers.
Residents can use their voices at both levels to ensure fair energy rates, total transparency, and strong consumer protections are at the heart of SC's energy system.
Equipping the Next Generation
Understanding the energy system is important at every stage. Kids are impacted by energy issues from the cradle to college, and beyond. Explore these tailored guides for every age and learning stage.
Elementary
What is Electricity?
Curiosity starts here. Teach kids how power is made and how it travels from the plant to their home and school light switches.
High School
Systems & Costs
Here is where young ones begin connecting the dots.
They can closely examine infrastructure, environment effects, and the result of fuel shifts, all of which shape the power grid.
Middle School
Home Energy Use
These ages can begin to understand that their home is a small power grid.
Help them discover how appliances work and learn simple, daily ways to save energy.
College
At this stage, young adults can begin to convert energy system knowledge into policy action.
This group has the ability to master the complexities of energy system regulation and help lead the charge for equity, justice, and fairness in the state of South Carolina.