Calculating a bill is an effortless task, but sometimes it becomes difficult for people who do not have any technical background. So, here we will provide you a simple method of **how to calculate electricity bills** along with an example.

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## How to Calculate Electricity Bill from Meter Reading:

As we all know that electric meter readings are taken manually in Pakistan. Eventually, it may contain some human errors and other problems. So, to avoid this problem, you should be able to calculate your meter reading by yourself. You can do it easily by following the given process.

**Read Your Electric Meter**

First, you should learn how to read the electric meter to calculate your electricity bill from the meter reading. Readings on the meter are in kWh.

There are three types of meters,

**Analog Meters****Digital Meters****Smart Meters**

**Analog Meters:**

Reading an analog meter is a complex method and needs to be done very carefully. There are five dials on the analog meter. Start recording the readings by the following process:

- First, read a dial on the left.
- When the pointer is between two digits, then always go for the lower one.
- If you see a pointer overlapping a number, note it.
- Now, if it lies between two digits like 9 and 0, you have to select 9 and then reduce the reading of the left meter by 1. (Don’t get confused, you have already taken the reading of this meter on the left, so if it was 5 previously, now reduce it to 4)
- Just ignore the last meter. You don’t have to take the reading of it.

**Digital Meters:**

This type of meter contains a row of numbers with some numbers surrounded by red. You have to record the numbers in the row moving from left to right and do not consider the numbers highlighted in red.

**Smart Meters:**

Again you can take a reading by recording the digits moving from left to right. Smart meters also have some numbers in red color, and these are mostly after the point. You have to ignore these numbers in red.

**Price of Units:**

Now you have to calculate the price of the units. The price of units increases with the addition or consumption of units.

- If the meter reading is less than or equal to 100 units, it would cost 5.79 rupees per unit.
- Meter reading between 101 and 200 would cost 8.11 per unit.
- If the meter reading is between 201 and 300 units, then it would cost 10.20 per unit.
- A meter reading between 301 and 700 would cost 17.60 per unit.
- And if the meter reading is above 700 than it would cost 20.70 per unit

## Calculate your Electricity Bill from Meter Reading:

Now you have everything that is needed to calculate the bill. Just take your previous month’s bill and note the reported reading. Once done, subtract it by the current reading of this month. The result would be the readings you have consumed this month. Then multiply it with the rate of kWh, and you’ll get the final bill. It can be summarized as:

Reported Reading (from previous month’s bill) – Current Reading = Total kWh (used since last month)

Total kWh x Charges per kWh (mentioned above) = Total Energy Charge

This isn’t over yet. Now you have to add additional charges written on your bills like surcharge, variable charges, general sales tax, and duty on electricity, TV license fee, bank charges, and meter rent. Add these, and you’ll get the final bill.

Total Energy Charge + Additional Charges = Final Bill.

## How to Calculate Electricity Bill? (Manually)

Here is the step by step guide to calculating your electricity bill:

**Calculate Your Electricity Consumption:**

First, you need to figure out the daily energy consumption of your appliances. For example, if you are running an electric motor for 5 hours a day with a wattage of 3,000. Then you can calculate its consumption as follows:

Daily Consumption= (Wattage of Electric Motor) x (Hours used)

3,000 x 5 = 15,000Wh (watts hour)

Now, you can get the monthly consumption of a particular appliance by multiplying it by 30.

15,000Wh x 30 = 450,000Wh or 450kWh

You can convert it into kWh by dividing it by 1000.

**Multiply by Tariff Rate:**

The regulated tariff rate in Pakistan (revised March 2020) is $0.060 or 9.406 PKR per kWh. Now, multiply your electricity consumption with a regulated tariff rate.

450kWh x 9.406 = 4,232.7 PKR.

It could be quite hectic to calculate your electricity bill by calculating for each appliance separately. So, you can visit our bill calculator for the calculation of your bill.

**Conclusion**

Calculating your bill from meter reading may get a little difficult for the first time. But, once you get it done, you’ll get used to it. Moreover, this is very helpful if you are struggling with the problem of high bills every month. You can calculate your bill and optimize your energy consumption by calculating the consumption of a particular appliance. Also, this will help you to estimate your usage and sure SAVING on the electricity bill.