Facts About Your Electric BillYour Electric BillYour Electric BillYour Electric Bill

Understanding your electric bill and knowing how much energy various appliances use will help you get the most out of your energy dollar. The greatest portion of your electricity needs involve heating, cooling, food refrigeration, water heating and lighting.

The following pages are designed to give you a detailed description of all the items on your Minnesota Power bill.

If you have further questions about your electric bill or energy use, please call us at 1.800.228.4966.

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Your personal account number.

The Billing Summary is your total amount due.

A summary of current and previous balances, payments received, and billing period for electric and non-utility charges. Additional details of charges are on Page 2 of the bill.

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Understanding Your Bill...

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This graph depicts a two-year record of your electric power (kilowatt-hour) use.

The Residential Service Rate code identifi es your classifi cation of service. This example is of a single family dwelling.

Total kilowatt-hours (kWh) used during a billing period.

Service Charge is the minimum monthly fee which covers the cost of connection to our system.

The amount you are charged per kWh varies depending on your monthly usage. There are fi ve separate rate blocks; the more electricity you use, the more you will pay per kWh. The fee for your monthly energy usage is the Total Energy Charge.

Effective Nov. 1, 2011, the Affordability Surcharge on your bill, $0.65 per month, recovers the costs of a rate affordability discount program for income-qualifi ed residential electricity customers.

The Renewable Adjustment charge includes the costs for additional renewable energy and transmission to deliver this energy to our system. We are investing in renewable energy projects as economically as possible to meet Minnesota’s Renewable Energy Standard of 25 percent renewable energy by 2025.

The Transmission Adjustment charge includes costs for new transmission facilities that are

necessary for reliable delivery of the electricity to customers.

The Resource Adjustment is a combination of two charges. The fi rst portion of this charge is applied to the cost of our state mandated Conservation Improvement Program which promotes energy conservation through education and outreach. The second portion is fuel and purchased energy which is based on the fl uctuating cost of fuel used in our generating stations and power purchased from other energy providers when needed. Due to the varying costs of fuel, this line item will vary from month to month. 11

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BillingMost customers’ electric meters are read by an automated reading system. An electric device connected to your electric meter provides Minnesota Power with accurate monthly usage of your household or business.

You may experience an occasional estimated bill. We estimate your consumption based on historical usage. Actual readings subsequently correct any overcharge or undercharge that may result when an estimate must be made.

Visit mnpower.com or call 1-800-228-4966 for more information.

Payment OptionsMinnesota Power offers these options to pay your bill.

• Western Union Speedpay

- Recurring Payment Plan – free when using checking, savings or money market accounts

- One-Time Payment

- Pay-in-Person – using Western Union Convenience Pay locations

• Walmart – Customer Service desk

• Mail

• Drop Boxes - Duluth and Little Falls only

Budget BillingBudget Billing levels out seasonal highs and lows on monthly electric bills. The budget amount is based on your past 12 months’ usage divided into 12 equal payments. You pay the same amount for your electric service each month, so budgeting for monthly expenses is simplifi ed. The current status of your budget billing account is shown on the reverse side of your bill. There is no charge for this service.

The Ups and Downs of Your Electric Bill

Residential electric bills follow surprisingly uniform patterns from year to year. When a bill is higher than usual, it arouses curiosity. There are many reasons why your use and cost of electric service may vary.

Other things you should know about your Minnesota Power bill

Seasonal ChangesCold weather requires more heat and use of furnace fans, humidifi ers, roof and gutter cables, supplementary heaters and auto engine heaters. Holiday entertaining requires extra cooking, lighting and use of decorations.

During hot weather, there is increased usage because of air conditioners, fans, refrigerators, freezers, dehumidifi ers and laundry appliances.

The charts show average use factors for heating and lighting and how they vary seasonally.

Find tips for saving energy throughout the year at mnpower.com/seasonsofsavings

Usage During VacationIt’s natural to expect your electric bill to decrease substantially when you’re away from home. But while you’re away, your refrigerator, freezer and water heater continue to operate — unless you turn them off. Also, your vacation schedule may not coincide

with a billing period. Your reduced usage, therefore, would be spread over two bills. It’s likely too that you’ll use more electric energy getting ready for a vacation and when you return home again.

Other Reasons for Change• Your lifestyle may change, your family grows,

you entertain more often or you have more houseguests.

• The age and condition of your appliances often affects their cost of operation.

• You may leave lights or appliances on unnecessarily, wasting electricity and affecting your bill.

Variations are caused by the length of the billing period. In general, for every day’s difference in the billing period, your energy consumption increases or decreases by 3 percent.

Appliance Operation Costs The following costs are based on energy consumption of typical appliances and their average use. Your appliances and use patterns may vary somewhat, so you may want to fi gure exactly what it costs to operate your appliances. It’s not diffi cult to do if you have the right information.

All electric appliances have the “wattage” or “amperage” and “voltage” indicated somewhere on the unit (amps x volts = watts). You can use this fi gure to determine your cost of operation. For example, an electric space heater with 1,500 watts costs about 13.65 cents per hour to operate. Here’s how that fi gure is reached:

1,500 watts ÷ 1,000 = 1.5 kW each hour1.5 kW x 9.1 cents/kWh = 13.65 cents/hour

Many electric appliances are thermostatically controlled. Because they turn off and on automatically, they use energy intermittently.

The following fi gures give you a basis for estimating appliance operating costs. These estimates are based on Minnesota Power’s average residential customer cost of 9.1 cents per kilowatt-hour. (Average Minnesota household use is 750 kWh per month.) Your average cost may be slightly lower or higher than 9.1 cents depending upon your usage, rate classifi cation and the community in which you live.

You can check with your local public library to see if it has an electric usage monitor called a Kill A Watt™ available for checkout. This tool allows you to assess how effi cient your appliances are by monitoring their electric consumption.

Average Home Energy Use

If you have further questions about your electric bill or energy use, please call us at 1.800.228.4966.

Average Average Monthly kWh Monthly cost* Monthly kWh Monthly cost* Monthly kWh Monthly cost*

Household Services Washer (average is 12 hours/month) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(average is 12 hours/month) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(average is 12 hours/month) 9 . . . . . . . . . . . . Dryer (average is 16 hours/month) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(average is 16 hours/month) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(average is 16 hours/month) 104 . . . . . . . . . . . . Water heater (52 gallon, quick recovery) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400 . . . . . . . . . . . . 100kWh (base running) tank + 100kWh per person (double for infants)

Water heater (energy effi cient model or one with blanket) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(energy effi cient model or one with blanket) . . . . . . . . . . . . . . . . . . . .(energy effi cient model or one with blanket) 350 . . . . . . . . . . . . 50kWh + tank add 100 kWh per person (double for infants)

Range (family of 4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(family of 4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(family of 4) 75 . . . . . . . . . . . . Refrigerator (conventional) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (conventional) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (conventional) 60 . . . . . . . . . . . . Refrigerator/freezer (upright, 2 door, 14 cubic feet) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(upright, 2 door, 14 cubic feet) . . . . . . . . . . . . . . . . . . . . . . . .(upright, 2 door, 14 cubic feet) 95 . . . . . . . . . . . . Refrigerator/freezer (side by side) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (side by side) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (side by side) 152 . . . . . . . . . . . . Freezer (15 cubic feet, manual defrost) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(15 cubic feet, manual defrost) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(15 cubic feet, manual defrost) 76 . . . . . . . . . . . . Freezer (15 cubic feet, frost free) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 147 . . . . . . . . . . . . Dishwasher (with heating unit) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 . . . . . . . . . . . . Oil burner (use low/average/high based on outside temp) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(use low/average/high based on outside temp) . . . . . . . . . . . . . . . . . . . . . .(use low/average/high based on outside temp) 60 . . . . . . . . . . . . Furnace fan (use low/average/high based on outside temp) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 . . . . . . . . . . . . Supplementary electric heaters (watts x hours) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(watts x hours) . . . . . . . . . . . . . . . . . . . . . . .(watts x hours) 300 . . . . . . . . . . . . Room A/C (depends on size, use and weather conditions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(depends on size, use and weather conditions) . . . . . . . . . . . . . . . . . . . . .(depends on size, use and weather conditions) 228 . . . . . . . . . . . .

Central A/C . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Television (Tube) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Television (Plasma) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(Plasma) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(Plasma)

Television (LCD) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (LCD) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (LCD)

Television (LED) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (LED) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (LED)

Other AppliancesDehumidifi er (depends on size of unit and hours of operation) . . . . . . . . . . . . . . . . . . .(depends on size of unit and hours of operation) . . . . . . . . . . . . . . . . . . .(depends on size of unit and hours of operation)

Auto engine heater (watts x hours) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Lighting5 room house (winter months) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (winter months) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (winter months)

8 room house (winter months) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (winter months) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (winter months)

Standard outdoor 100 count holiday lights. . . . . . . . . . . . . . . . . . . . . . . . .Midsized LED 100 count holiday lights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Other High-Use ItemsRoof and gutter cables (usually 7 watts per foot, multiply watts x hours) . . . . . . . . . . .Home computer and printer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Electric blanket . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Average AverageAverage Average Monthly kWh Monthly cost* Monthly kWh Monthly cost*

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Average AverageAverage Average Monthly kWh Monthly cost* Monthly kWh Monthly cost*

. . . . . . . . . . . . . . . . . . . . . . . . $ 0.82 . . . . . . . . . . . . . . . . . . . . . . . . $ 9.46 . . . . . . . . . . . . . . . . . . . . . . . . $ 36.40

. . . . . . . . . . . . . . . . . . . . . . . . $ 31.85

. . . . . . . . . . . . . . . . . . . . . . . . $ 6.83 . . . . . . . . . . . . . . . . . . . . . . . . $ 5.46 . . . . . . . . . . . . . . . . . . . . . . . . $ 8.64 . . . . . . . . . . . . . . . . . . . . . . . . $ 13.38 . . . . . . . . . . . . . . . . . . . . . . . . $ 6.92 . . . . . . . . . . . . . . . . . . . . . . . . $ 13.83 . . . . . . . . . . . . . . . . . . . . . . . . $ 2.37 . . . . . . . . . . . . . . . . . . . . . . . . $ 5.46 . . . . . . . . . . . . . . . . . . . . . . . . $ 9.10 . . . . . . . . . . . . . . . . . . . . . . . . $ 27.30 . . . . . . . . . . . . . . . . . . . . . . . . $ 20.75

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Average Average Monthly kWh Monthly cost*

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. . . . . . . . . . . . . . . . . . .255 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .75 . . . . . . . . . . .

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. . . . . . . . . . . . . . . . . . . . . . . . .150 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3 . . . . . . . . . . .

. . . . . . . . . . .82 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28 . . . . . . . . . . .

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Average Average Monthly kWh Monthly cost*

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Average Average Monthly kWh Monthly cost*

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Average Average Monthly kWh Monthly cost*

. . . . . . . . . . . $ 32.76 . . . . . . . . . . . $ 5.10 . . . . . . . . . . . $ 6.55 . . . . . . . . . . . $ 2.46 . . . . . . . . . . . $ 2.18

. . . . . . . . . . . $ 23.21 . . . . . . . . . . . $ 6.83

. . . . . . . . . . . $ 4.55 . . . . . . . . . . . $ 7.28 . . . . . . . . . . . $ 13.65 . . . . . . . . . . . $ 0.27

. . . . . . . . . . . $ 7.46 . . . . . . . . . . . $ 2.55 . . . . . . . . . . . $ 2.00

Average Average Monthly kWh Monthly cost*

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Average Appliance Usage *These estimates are based on Minnesota Power’s average residential customer cost of 9.1 cents per kilowatt-hour. (Average household use is 750 kWh per month.) The residential rate is subject to approval, modifi cation or acceptance by the Minnesota Public Utilities Commission.

Check out these tips for saving energy in your home.

Learn more about how you use energy.Complete a free Your Home Energy Report and fi nd out if a home energy analysis is right for you. Take the next step to develop a customized action plan for achieving your energy-saving goals. Visit us at mnpower.com/portal

Replace furnace fi lters monthly.This will improve the effi ciency of your furnace, extend its life and reduce dust in your home.

Clean refrigerator and freezer coils.For refrigerators, clean on a biannual basis and more often if you have animals. For freezers, clean more often if stored in dusty areas. You can also clean the coils on your window air conditioner and dehumidifi er.

Turn down the thermostat in the winter and turn it up in the summer.As a rule of thumb, for each one degree reduction in temperature in the winter you can save 2 percent or more on your heating and for each degree you raise the temperature in the summer, you can save 3 percent or more on cooling. You may want to consider installing a programmable thermostat. Wash your clothes in cold water as much as possible—and only full loads.About 90 percent of the energy used is spent heating the water. Take the next step and installan ENERGY STAR® qualifi ed clothes washer.

Plug air leaks in your home.Inexpensive foam strips and caulking can cut your heating and cooling loss by 10–25 percent.

tipsfor efficient energy use

Take the next step ... demonstrate the Power of One®

Turn off lights when not needed.Take the next step by installing energy-effi cient ENERGY STAR® qualifi ed light bulbs and fi xtures. Lighting represents up to 10 percent of an average home’s energy usage.

When not in use, turn it off ... or better yet, unplug it.Televisions, chargers, computers, and other plug-in devices that are simply turned off can still use as much as half the energy they do when they’re turned on.

Have your furnace tuned up annually.Take the next step by installing a new, high-effi ciency furnace with an ECM fan motor.

Get rid of that second refrigerator or freezer.The second refrigerator or freezer in your garage or basement can cost you several hundred dollars over its lifetime. Take the next step and replace that old refrigerator or freezer with a new ENERGY STAR® qualifi ed model. Visit mnpower.com/refrigeratorrecycling to learn how you can get rewarded for recycling your old unit.

Every unit of energy you save is one less you pay for. One change, one choice is all it takes.

Power of One®... it begins with you.

a conservation program

Don’t forget to visit mnpower.com/powerofone

for additional energy-saving tips, tools and rebate

information.

30 W. Superior Street, Duluth, MN 558021.800.228.4966 | mnpower.com

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