If you're concerned about the increasing price of electricity and gas for your home, you may be wondering how the price of these utilities is calculated, and why it may seem like you're paying more for the same amount of energy consumption during different times.

The prices for both electricity and gas are calculated based on the amount you use, as recorded by your home meters. In addition to these units - which are measured in kilowatt hours for electricity and cubic feet or cubic metres for gas - you may also be required to pay a standing charge and any other fees detailed in the contract with your energy company. In this regard, both types of energy are charged in the same way, but the difference in price will not usually be relational over time, as the electricity and gas markets operate independent of each other and are influenced by a number of external factors - an increase in electricity rates does not therefore mean an increase in gas prices.

Having your meters read regularly and accurately can help ensure you don't pay more than you need to, as well as reduce the risk of unpleasant surprises further down the line. If you are not present when the meter reader calls, you may be issued an estimated bill based on your last meter reading. If you're worried about your home being empty when these energy workers call, you can sign up to online electricity and gas tariffs that allow you to record your own meter readings.

When you receive your bill for electricity or gas, it should therefore reflect your actual energy usage or an estimate, and should also feature details of your previous statements for comparison. There may be various reasons for your bills being very different month on month or quarter on quarter, including your home being occupied more frequently during one period, cold weather leading to higher gas consumption, or changes in the wholesale prices of the fuels themselves, which cost electricity companies more to supply.

There are different ways to pay for your electricity and gas, which may lead to discounts. Energy companies prefer customers to pay by direct debit as this offers extra security that payments will be made on time, and by registering online or opting to receive paperless billing you could also save money, depending on the tariff. Choosing a longer term contract could also be more cost-effective than a shorter term one, depending on your personal circumstances.

Fiona Roy writes for a digital marketing agency. This article has been commissioned by a client of said agency. This article is not designed to promote, but should be considered professional content.