What Is a Reasonable Electric Bill to Know if Your HVAC Is Running Properly?

One piece of advice that many HVAC companies will give you to help you understand if you’re having problems with your HVAC is to monitor your energy bill. Heating and air conditioning systems that are not operating properly will require more energy to operate, which in turn means that your energy bill will be higher. In theory, it’s good advice.

But what does that even mean, really?

How do YOU know if your energy bill is reasonable or massively overpriced?

What is a Good Energy Bill?

Evaluating the reasonableness of an electric bill to gauge the efficiency of your HVAC system involves understanding various factors that influence energy consumption. An unusually high bill might indicate inefficiencies or issues within the system, whereas a reasonable bill suggests optimal operation.

But without knowing what is reasonable and what isn’t, it is going to be difficult for you to identify an overpriced bill. In addition, different homes have different versions of reasonable, and location plays a role as well. PGE is way more expensive than SMUD, for example, adding to the complexity of this determination.

Several variables play a role in determining the typical range for an electric bill, regardless of its efficiency. For example:

• Seasonal Variations – Energy usage and costs can fluctuate significantly with the seasons, with higher bills typically seen during extreme temperatures due to increased HVAC demand.
• Home Size and Insulation – Larger homes or those with poor insulation may require more energy to maintain comfortable temperatures, affecting bill amounts.
• System Age and Efficiency – Newer, energy-efficient HVAC models consume less power compared to older, less efficient units, directly impacting energy costs.
• Thermostat Settings – Preferred indoor temperatures and thermostat settings can significantly influence energy consumption, with lower settings in winter and higher in summer generally leading to reduced energy use.

So what is a good energy bill?

The most important thing you can do is compare current bills with those from similar periods in previous years, looking not just at the cost difference but also the KWh. PGE has raised prices multiple times in the past few years, so looking at total cost may not be as useful, but if you look at how the bill compares in usage during different similar time frames, you should be able to see a difference.

You can also talk to your neighbors that have similar sized homes and HVAC systems and ask them about their bill if they’re comfortable sharing with you. This can help pinpoint any issues that affect everyone in the region (like heatwaves or home structure) and then help see if yours stands out in a meaningful way.

Lastly, you may simply not be able to make this determination. Not everyone will be able to tell offhand whether or not their HVAC is working poorly. That is why it might be a good idea to ask about an energy assessment. We do that here at Cal Energy, along with assessments from our team of HVAC technicians, to help you determine your property’s energy efficiency.

Is It Even the HVAC?

One final note is that the HVAC issue may not be your HVAC at all. For example, if your windows are leaking air, your HVAC is going to be working much harder even if the HVAC itself is the same. Energy assessments can be one way to help you find out whether or not everything is working properly.

Still, a reasonable electric bill should reflect a balance between your household’s energy consumption habits and the efficient operation of your HVAC system. Significant deviations from expected costs warrant a closer examination of your system and household energy practices. Engaging with HVAC professionals for regular maintenance or inspections can help ensure your system operates efficiently, potentially leading to more predictable and reasonable energy costs.

If you need help with your energy efficiency, contact Cal Energy, today.