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Cities with highest utility bills

Aug 18th, 2011 by admin

I wrote a “slideshow” for Bankrate this week on cities with the highest utility bills. What ended up being published was less of my writing and more of my research — which is fine.

I was assigned to write an intro to go with the list of cities in the slideshow, but it didn’t run. I’m including the story I wrote on my blog for anyone interested in details behind what you see at Bankrate.com, such as how much utility rates regularly rise, tips for saving energy, variables in the data, and some interesting links.

Here’s the story:

By Aaron Crowe

The heatwave that has gripped much of the country this summer must be spiking usage of air conditioners and the electricity that run them, as six of the top 10 cities with the highest utility rates are areas that have experienced record high temperatures.

Residential electricity rates are typically higher in New England and the Mid-Atlantic states, according to the U.S. Energy Information Administration, but recent figures from a comparison shopping website for utility rates show that states such as Florida and Texas have the highest rates.

The national average for utility and essential home services, which WhiteFence.com defines as electricity, phone, TV, high-speed Internet and natural gas, was $248.46 in May, according to the White Fence Index. The index is derived from orders the company takes from customers each month, along with information from utility providers. It surveys 21 major metropolitan areas, and variables include home size, electricity rates, usage and weather.

Small homes in Los Angeles, for example, will have smaller electricity bills than big homes in Dallas that use air conditioners most of the time in hot months. Electricity made up the biggest cost in the index, with the national average at $93.33 per month.

Orlando, Florida, led the list of cities with a $302.53 monthly bill for utilities and home services, or $54.07 more than the national average. According to the Alliance to Save Energy, electric utility rates were growing lower than the rate of inflation before 1985, and from 2000 on they’ve been growing slightly higher. A 2010 report by an energy company found that electricity prices rose 15 percent since 2004 when adjusted for inflation.

Websites such as White Fence help consumers shop for better utility rates, although in some areas there isn’t a choice for electricity or natural gas, although there are choices for TV, Internet and phone services.

Other than turning the power off, there are other steps people can take to lessen their power bills. The Alliance to Save Energy and EnergyNOW have a list of tips, including getting an air conditioner tuneup, using ceiling fans, weather stripping, using curtains during the day, and buying a new refrigerator.

Here are the top 10 cities for utilities and home services, according to the White Fence Index, followed by monthly cost and amount over the national average:

Orlando, Fla.: $302.53, or $54.07 above the national average.
Houston, Texas: $292.16, $43.70.
Phoenix, Ariz: $289.00, $40.54.
Dallas, Texas: $288.80, $40.34.
New York City, NY: $288.26, $39.80.
Las Vegas, Nev.: $275.44, $26.98.
Boston, Mass: $272.20, $23.74.
Charlotte, N.C.: $268.95, $20.49.
Portland, Ore.: $261.66, $13.20.
Seattle, Wash.: $252.09, $3.63.

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Posted in Bankrate, Work sample

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