The electricity billing in Norway is briefed in the following paragraph.
The considerations made on consumer’s point of view,
- Inexpensive service
- Good customer service
- Better feasibility and payment options
There are certain important considerations to be made on a billing point of view on determining the electricity prices;
- Electricity cost.
This is the fixed amount paid by the consumer to the local provider. The consumer cannot decide as to which provider they can choose, because this service is exclusive to that of the NVE. Hence the pricing is composed of various split ups such as VAT, excise duty, energy fund.
The consumer can choose between various suppliers based on the contracts that the dealers provide and the also based on the needs, so that the customer can sign in accordingly. The pricing system can be based on
- Spot price:
This is pretty much the market price that the consumers are obliged to pay according to the market value. The standard of such prices vary from time to time. The main objective of such a pricing methodology is to provide the cheapest price to the consumers. But the consumers must also bear the hike in the price over a particular period of time, these prices are generally governed by the Smart money 2017, and the information about the market rates is available at Nord Pool ASA.
- Fixed price:
A fixed amount for the fixed allotment of the respective kWh is opted by the consumer. Hence the varying market price of the electricity does not affect the predetermined allotment of both price and usage.
- Standard variable electricity:
The varying price of the electricity is tackled by this scheme. This enables to set the threshold of the price according to the likes of the fluctuating market. The providers are supposed to inform the change in the price of the electricity 14 days before the actual effect. Hence this method is highly efficient in providing a proper insight, comparison and knowledge about the need to change the provider.
Billing is the final step in electricity pricing. There are generally 3 ways of settling the payment.
- Prepaid, where a fixed amount is already paid for the acquired service.
- Postpaid where the amount is paid only after the service is used.
- Check or direct deposit of the amount to that of the supplier, hence by this a person need not remember the due date as the bank would debit the respective amount to the supplier.
Generally two invoices are provided to the customer, the invoice from the electricity provider (generally form the supply grid), the invoice from the supplier. But this doesn’t happen always. Sometimes a single invoice is obtained from the supplier and a single payment has is made. Henceforth the separate invoice of the provider of electricity is sent along with the payment by the billig strøm supplier. Always an electronic invoice is appreciated for the ease of use and record for future reference.