COSTS OF ELECTRICITY Condez De Guzman Yamon Reyes Singcoy Obedoza 4 th year Diamond

Electricity prices generally reflect the costs to build, finance, maintain, manage, and operate power plants and the electricity grid to operate and administer the utilities that supply electricity to consumers. Some utilities are for-profit, and their prices include a return for the owners and shareholders. Some key factors that affect the price of electricity include: FUEL TRANSMISSION AND DISTRIBUTION OF THE ENERGY WEATHER CONDITIONS REGULATIONS

There are couple of different ways to measure electricity, but the main one is the watt. The watt (W) is a measure of electrical power. Before we see how much electricity costs, we have to understand how it is measured. When you buy gas they charge you by the gallon. When you buy electricity they charge you by the kilowatt-hour (kWh). When you use 1000 watts for 1 hour, that's a kilowatt-hour.

Understanding how to measure electricity

Here is the formula to figure the cost of running an appliance: (wattage x hours used ÷ = cost of 1000 ) x price per kWh electricity

A television set is rated at 300 watts and operated for seven hours a day. 1. Multiply 300 watts by seven hours  (300 x 7 = 2,100 watt-hours) 2. Divide by 1,000  (2,100 ÷ 1,000 = 2.1 kWh) 3. Multiply the kilowatt-hours by the price of electricity. (In the Philippines, 1Kwh= Php 6.72)  (2.1 kWh x Php 6.72/ Kwh = Php 14.11) The TV set costs approximately pesos a day to operate.

An electric fire needs 2 kW. It is switched on for 3 hours. If each kWh costs 6.72 pesos, how much does it cost to run the fire? Cost = power × time × cost of 1 kWh = 2 kW × 3 h × 6.72 pesos = Php 40.32