How is an electricity bill calculated?

Your electricity bill is calculated based on the number of units you use in a month. A unit means one kilowatt-hour of electricity. Every appliance in your home consumes a specific amount of electricity depending on how powerful it is and how long you use it. The meter records these units. The electricity board then multiplies the total units by the tariff rate to get the basic cost. They may also add fixed charges, meter rent, taxes, or other fees depending on the rules. When all these amounts are added together, you get the final bill that you need to pay.