Understanding residential electricity rates is essential for managing household energy costs effectively. These rates represent the cost consumers pay for each unit of electricity consumed, typically measured in kilowatt-hours (kWh). Rates can vary depending on your location, utility provider, and energy usage patterns. They may include fixed charges, usage-based charges, and sometimes additional fees for infrastructure or renewable energy support. Many providers also offer tiered or time-of-use pricing, where rates fluctuate based on the time of day or season. By being aware of how these rates are structured, homeowners can make informed decisions to reduce consumption and save on energy bills.