Fixed bill

Fixed bill refers to an energy pricing program in which a consumer pays a predetermined amount for their total energy consumption for a given period. The price is independent of the amount of energy the customer uses or the unit price of the energy.[1] Energy companies can offer this type of pricing by hedging the risks of fluctuating demand using weather derivatives.

  1. ^ Lucchetti, Aaron (6 November 1997). "Cold Winter on the Way? Some Consumers Bet on It". The Wall Street Journal.