ESPECIALISTAS EN AHORRO, ELECTRICIDAD Y GAS

Electric bill

Electric bill
How to understand receipts and how to pay less?



The electricity bill justifies the amount that the customer must pay for the supply of electricity to their supplier. Next, we will see the different elements that make it up and how to save on your electricity bill.

How to understand the electricity bill?

Understanding the electricity bill is essential to monitor our consumption and detect possible irregularities in billing.

Knowing what each concept we pay in the electricity bill refers to can help the consumer reduce their energy expenditure and save a few euros per month on their bills.

Those in charge of sending invoices to their clients month by month or bimonthly are the marketers.

What do we pay in the electricity bill?

The electricity bill, regardless of the electricity company, is made up of the following elements. Some of them are defined by the marketing company itself and others are set by the Government, and they are the following:

Power term.

Energy term or consumption term.

Equipment rental.

Tax on electricity.

VAT.

How to calculate the electricity bill?

To calculate the electricity bill you must add all the concepts that we have mentioned in the previous point. Below we explain how to calculate the final price of each concept and the total cost of your electricity bill.

Power term

The power term is the amount that the user has to pay for the power they have contracted. It is calculated by multiplying the power term by the number of kW contracted and the days that make up the billing period. It is a fixed amount, that is, it is always paid, even if no consumption is made.

How is the power term calculated?

Power term: Price per kW * contracted kW * billing days
Example: €0.1233 * 3.45 * 60 = €25.52 (without VAT)

Energy or consumption term

The term energy refers to the energy consumed by a customer during a given billing period. It is a variable concept and is calculated by multiplying the price of energy by the amount of kWh consumed.

The energy or consumption term and the power term include access tolls, an amount set annually by the Ministry and that consumers must pay to cover the expenses and maintenance of electrical infrastructure.

How is the energy term calculated?

Consumption term: Price per kWh * kWh consumed
Example: €0.1349/kWh * 583 = €79.65 (without VAT)

Equipment rental

This concept is charged to all those customers who do not own their electricity meter. The marketer has the obligation to collect this concept because the meter is the property of the distributor.

How much does it cost to rent an accountant?

The price established by the Government for renting digital meters ranges between €0.81 and €1.36 per month.

Electricity tax

This is a tax independent of VAT and must be paid by all consumers, regardless of whether they consume electricity or not. It is regulated by the Government and represents 5.113% of the sum of the consumption term and the power term.

How is the electricity tax calculated on the electricity bill?

Electricity tax: (Power term + Energy term) * 0.05113
Example: (25.52 + 79.65) * 0.05113 = €5.38

VAT on the electricity bill

To calculate the Value Added Tax (VAT), you just have to add the four concepts mentioned above and multiply them by 0.21.

How is the VAT on the electricity bill calculated?

VAT: (Power term + Energy term + Meter rental + Electricity tax) * 0.21
Example: (25.52 + 79.65 + 0.81 + 5.38) * 0.21 = €23.38

Total amount of the electricity bill

The total amount of the electricity bill, after having added all the previous concepts, is as follows:

Total electricity bill

Power term: €25.52

Energy term: €79.65

Counter rental: €0.81

Electricity tax: €5.38

VAT: €23.38

Total:€134.74

How to save on your electricity bill?

There are small everyday gestures with which consumers can save on their electricity bill.

  • Switch to LED bulbs.

  • Buy high-efficiency appliances with low electrical consumption.

  • Control electric heating (lowering the heating can help us pay less for the electricity consumed).

  • Schedule the air conditioning an hour before you get home, instead of trying to cool the room immediately.

  • Keep the light on only when necessary.

  • Avoid leaving devices on 'stand by', it is better to turn them off completely.

  • Do not use hot washing programs in washing machines or dishwashers

  • It is also important for the consumer to study their consumption habits to discover whether a fixed rate or one with time discrimination is better for them. The latter are offered by most marketers and are aimed at consumers with very specific needs.

  • Rate with time or night discrimination: For those who make at least 35% of their consumption during off-peak hours. That is, during the night and early morning hours.


  • If we have contracted any maintenance service or any other extra service with a marketing company, it will also be reflected on the invoice.

Can my electricity be cut off for not paying my bills?

The answer is yes, although it will depend on the volume of non-payment and the duration of the debt. Before cutting off the electricity, the supplier sends a notice notifying the customer that their electricity supply will be cut off due to non-payment.

In the event that the client has contracted the PVPC rate, the company cannot cut off the electricity until at least two months have passed since the date of issuance of the last invoice. If you are a free market client, it is best to review the contract and study the conditions agreed between the user and the company.

If, after the power goes out, payment of pending invoices is made immediately, the customer will have power again within a maximum period of 24 hours. If payment is delayed and the meter is removed, the supply recovery process will be slower and the customer will have to pay reconnection fees.

The cost of the re-entry fees is around 20 euros and is established by Royal Decree 1955/2000, which establishes that an amount equivalent to double the re-entry fees must be paid: €9.04 without VAT.

What advantages does electronic invoice have?

Most marketers already offer electronic invoices. It is a digital document exactly the same as the one consumers receive by postal mail, but it represents a great saving in paper.

The electronic invoice has the same legal validity as the paper invoice.


To stop receiving it on paper and start receiving it in electronic format, you just have to contact your marketing company or access your company's Customer Area. From there you can also check your invoice history.

Receiving the electronic invoice has great advantages for both the company that issues it and the client.

Some marketers offer discounts for activating the electronic invoice service.
It reduces paper spending, making it more environmentally advisable.
Immediacy. Since they are not sent by regular mail, they always arrive in your inbox on time.
Greater control of spending. Paper invoices are more difficult to transfer, while electronic invoices will always be available to you in the Client Area of your marketing company.
Activating the electronic invoice is a free process.

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