Total Bills
Overview: This is an overall look at the “total amount due” portion of your bill. While the per kWh cost of your bill is the same as others in your class, your home or business’s usage has the largest impact on your bill. If you add a new appliance or upgrade to a high efficiency cooling unit, these changes will impact your total bill.
Below, you’ll find details on each element of your bill and how they may change in the future.
⇑ Future outlook: Base rates are not expected to change from their current levels in 2022. These rates have been in effect since March 2020. In a year with no base rate changes, riders are the main drivers for cost adjustments. Each of these are noted in the components section below. The change in transmission costs impacts each class differently, based on how those costs are allocated. That creates different outcomes. At this time, we expect overall costs will be higher in 2023 than they were in 2022.
Base Rate Components
(These charges can only be changed as part of a rate proceeding before the Iowa Utilities Board.)
BASIC SERVICE CHARGE
Overview: This is the fixed charge to each customer to connect their home or business to our system and to maintain the meter and connection.
Cost: Currently, this charge is:
Residential: $0.4274/day or about $13 per month.
Commercial: $0.6575/day or about $20 per month.
⇔ Future outlook: This charge is expected to remain stable in 2023 and can only be changed as part of a rate proceeding before the Iowa Utilities Board. We are evaluating the timing of our next rate review.
USAGE COSTS
Overview: This is the cost per kWh of energy used at your home or business. If you look at your meter, the number displayed is a count of the kWh your home or business uses.
Winter energy charges are “stepped,” meaning your rate per kWh will lower when your daily or monthly usage exceeds a certain threshold, or step.
This rate is also adjusted based on the season. Because the electrical grid must be more robust to handle the demands of summer usage, the rates increase between May 16 and September 15, when demands on our energy grid are more significant.
Cost: There are many details and options for rates for residential, general service and large general service customers. These options and rate details are highlighted in our online tariffs.
⇔ Future outlook: This charge is expected to remain stable in 2023 and can only be changed as part of a rate proceeding before the Iowa Utilities Board. We are evaluating the timing of our next rate review.
Riders
(These charges can be updated more frequently than Base Rate Components and do not require a rate proceeding before the Iowa Utilities Board .)
ENERGY ADJUSTMENT CLAUSE (EAC) CHARGE
Overview: While several charges and credits flow through this line on your bill, the main component is the cost of fuel to produce energy, or the cost to purchase energy for customers.
Cost: The cost is updated and tracked online each month. This also provides visibility to the items that make up our energy costs.
⇑ Future outlook: This charge is updated monthly. Overall, this line item is expected to be higher in 2023, mainly due to increasing fuel costs.
REGIONAL TRANSMISSION SERVICE CHARGE
Overview: Transmission service is provided to our customers by a third-party provider. This provider’s rates are based upon annual filings with the Federal Energy Regulatory Commission (FERC). Alliant Energy participates in FERC filings on behalf of our customers.
Cost: Transmission charges for all price codes are available in our online tariff document.
Future outlook (varies): Our transmission provider updates its rates annually. Transmission costs are expected to increase for most customers due to our transmission provider’s ongoing investments in the transmission system, ensuring reliability for customers.
Learn more about the Regional Transmission Service Charge
RENEWABLE ENERGY RIDER
Overview: This item helps cover the costs of bringing more renewable energy to customers. The charge allows for recovery of the costs from wind farms constructed in Iowa and is applied to your monthly bill. Many factors go into this cost, including the forecasted renewable energy costs and total demand. The customer benefits of Production Tax Credits also flow through this line item.
Cost: Currently, this charge is $0.00382/kWh.
⇓ Future outlook: This charge is updated annually and will decrease in 2023.
ENERGY EFFICIENCY COST RECOVERY
Overview: We offer numerous programs to help customers reduce energy use. This charge covers the costs to deliver energy efficiency plans. The charge is adjusted annually and is based on your energy use.
Customer Class |
Cost |
Residential |
$0.0022/kWh |
General Service |
$0.0013/kWh |
Large General Service |
$0.0007/kW |
⇔ Future outlook: This charge is updated annually. 2023 costs are expected to be similar to 2022.
DEMAND RESPONSE COST RECOVERY
Overview: This program provides a discount to customers who, in return, are willing to reduce their energy usage during times of high energy demand. Demand response programs are designed to lower the costs for all customers by reducing the amount of power that must be purchased on very hot days, when the price and demand is the highest. It also reduces the need for new power generation.
Customer Class |
Cost |
Residential |
$0.0021/kWh |
General Service |
$0.0017/kWh |
Large General Service |
$0.0010/kW |
⇔ Future outlook: This charge is updated annually. 2023 costs are expected to be similar to 2022.
LOCAL OPTION TAX OR FRANCHISE FEE
Overview: Depending on your community, you may have a franchise fee or local option sales tax added to your bill. You cannot have both on your bill. This charge is requested by your community. Alliant Energy collects the fee and provides it to the community.
Cost: This amount varies from 0% to 5%, based on decisions made by your local city council. Please contact your city clerk to learn more.
Future outlook (varies): This charge is determined by your local community.
View your customer class below to see an estimated breakdown of the charges on your bill.