Energy Bills: Why So High?

When record-setting cold temperatures hit the midwest, most of us stay indoors and look for ways to stay warm. This can mean you may see higher-than-normal electric bills the following month, which begs the question: “Why does my bill go up when it’s cold outside?”

Simply put, the colder it is outside, the harder your heating system works to keep your home comfortable and heating & cooling is about 50% of our electric bill. In recent years, extended cold snaps and polar vortex events have pushed heating systems to run longer and harder.

The biggest offenders...

Electric Heat/Heat Pumps

Even if you have lowered your thermostat, extremely cold weather can require your heat pump to change how it operates. When the temperature outside falls below a certain degree, supplemental heat may kick in to help your system run. In extreme cold periods, when heating needs are the highest, most of the heat provided comes from the less efficient supplemental heat. This is how your bill can increase, even if it seems you haven't done anything differently. If you used the emergency heat option on your heat pump, you most likely will need to manually change your thermostat back to normal or you will continue to use supplemental heat.

Gas Furnaces

Even if you rely on your natural gas furnace as your home's main heat source, your electricity bill can still increase. Your natural gas furnace most likely relies on an electricity-powered blower to help move hot air through your home's ductwork. That electricity-powered blower is operating longer and harder to keep the same temperatures in your home when the outside temperature plummets.

Portable Space Heaters

In extreme cold periods, many people supplement their normal heating system with portable electric space heaters. Electricity to run just one 1,500 watt space heater can cost more than $4 a day, or $30 a week and $130 a month.

What am I doing wrong?

As ideal as it would be, cranking your thermostat up 10 degrees on a cold winter’s night won’t make your house warm up any faster. Instead, it makes your heater work harder to reach your desired temperature, costing more money.

Additionally, frequently changing the temperature by a few degrees causes the heater to go into a costly and inefficient cycle of starting and stopping.

The solution? Get a programmable smart thermostat for your home. A programmable thermostat learns your schedule and temperature preferences. It adjusts automatically when you’re away to save energy, and adjusts again before you arrive home so you walk into a warm, cozy house. Check out our Smart Thermostats or call 812-866-2400 to learn more about how a smart thermostat can help lower your energy bill.

What changes can I make to lower my energy bill?

Making small adjustments in your home can help unlock energy savings:

• When you're home, reduce your thermostat to the lowest comfortable setting.

• Adjust ceiling fans to spin clockwise to push warm air down into the room.

• Open blinds to allow the sun to heat up your home; close them at night to help trap in warm air.

• Change out your air filters regularly to help your heating system work efficiently.

• Have your system inspected twice a year to ensure it is operating at its highest efficiency. With a Steinhardt Comfort Shield we will check your unit twice a year and make sure there are no issues.

• Earn rebates for upgrading your home's systems, attic insulation and ductwork with Smart $aver.