Why is my electricity bill so high?

Answered by Sam, Licensed Electrician (ECRA/ESA #7015314)

Quick Answer

The usual culprits, in order: electric heating or cooling running harder than you think, an aging appliance (especially a 15+ year-old fridge, freezer, or pool pump), always-on phantom loads, water heating, and time-of-use pricing — running heavy appliances during on-peak hours costs nearly triple the off-peak rate. A sudden unexplained spike with no usage change can also indicate a failing appliance or, rarely, a wiring fault worth investigating.

When a hydro bill jumps, the cause is almost always one of five things — and you can diagnose most of them yourself before paying anyone. Here's the checklist we walk through during an energy audit.

Start with the big four loads

Heating and cooling first: electric baseboards, a heat pump in deep winter, or AC in a heat wave each dominate a bill. Compare your usage (in kWh, on the bill) against the same month last year — if winter usage doubled, the answer is heating, not a mystery. Second, water heating: an electric tank runs $40–$80 per month, and a failing lower element or a slow hot-water leak quietly inflates it. Third, aging appliances: a 15-year-old fridge can use triple the electricity of a new one, a chest freezer in a warm garage works overtime, and an old pool pump is often the single largest summer load — a variable-speed replacement typically cuts pool electricity by 70%. Fourth, phantom loads — the dozens of devices drawing power around the clock, worth $100–$250 per year in most homes.

The time-of-use trap

Ontario's time-of-use pricing means electricity costs nearly three times more at peak hours than overnight. A household that runs the dryer, dishwasher, and EV charging at 6 PM pays dramatically more for identical consumption than one that shifts those loads after 7 PM or overnight. If you own an EV, the ultra-low overnight plan is usually the single biggest billing fix available — and smart switches and automation can shift lighting and loads automatically.

When the bill signals an electrical problem

A genuine red flag: usage that jumped sharply with no lifestyle change, no new appliances, and no weather explanation. We occasionally find a water heater element stuck on, a sump or well pump short-cycling around the clock, a baseboard heater running behind stored boxes, or — rarely — current leaking to ground through damaged wiring. These show up clearly with clamp-meter measurements at the panel, circuit by circuit. It's a quick diagnostic during an electrical inspection, and it either finds the culprit or rules your wiring out.

The fix list, ranked by payback

From fastest payback to slowest: shift loads off-peak (free), kill phantom loads with smart power bars (under $100), convert remaining incandescent and halogen lighting to LED ($200–$400/year savings in many homes), replace the 15+ year-old fridge or pool pump, then tackle HVAC and water heating with available rebates. Our energy audit measures your actual usage circuit-by-circuit and hands you that ranked list with real numbers — call 416-837-4038 to book one.

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Related Questions

People Also Ask

Rarely, but it happens — a partial fault leaking current to ground, a water heater element stuck on, or a well/sump pump short-cycling can all burn power invisibly. If your bill jumped with zero change in usage and the utility confirms the meter reads correctly, an electrical inspection is the next step.

Heating and cooling dominate — typically 50–60% of usage in homes with electric heat or heavy AC use. Water heating is next at 15–20% if electric, then appliances, lighting, and electronics. This is why efficiency upgrades to HVAC and water heating pay back faster than anything else.

More than most people think. TVs, game consoles, cable boxes, garage door openers, and chargers draw power 24/7 — commonly 5–10% of a household's total usage, or $100–$250 per year. Smart power bars and switched outlets eliminate most of it cheaply.

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