1. Settlement method

In order to settle the electricity bill in time, China generally adopts the method of "purchasing electricity in advance" to settle the electricity bill. Power users use electricity according to the pre-purchase, and power grid companies provide charging vouchers. After the electricity bill is settled, the power user carries the charging voucher in exchange for the official electricity bill.

2. Settlement fees

The electricity charges settled by users in the current month are mainly composed of market-oriented transaction electricity charges, non-market electricity purchase electricity charges, transmission and distribution fees, government funds and surcharges, power factor adjustment electricity charges, punitive electricity charges and taxes.

These include:

(1) Non-market electricity purchase cost = σ non-market electricity consumption by season and time period × electricity price of sales catalogue by season and time period ×( 1- power industry value-added tax rate).

(2) Market-oriented transaction electricity fee = electricity fee+deviation assessment fee+electricity sales service fee, etc.

Electricity and electricity fee = medium and long-term transaction fee+spot transaction fee;

Medium-and long-term transaction electricity fee = [σ medium-and long-term contract transfer electricity × (original contract price-transfer price)+σ medium-and long-term net contract time-sharing electricity × net contract time-sharing comprehensive electricity price (note: weighted average price) ]×( 1- power industry VAT rate); Spot transaction electricity fee = [σ (recent spot time-sharing electricity demand-medium and long-term network contract time-sharing electricity demand )××× recent spot time-sharing system settlement price+σ (recent real-time spot time-sharing electricity demand-real-time spot time-sharing system settlement price )× ×( 1- 0/-power industry value-added tax rate); Off-evaluation electricity fee = off-evaluation electricity quantity × off-evaluation price ×( 1- value-added tax rate of power industry) (note: if there are spot transactions in the area, there is no off-evaluation fee);

Electricity sales service fee = electricity consumption of electricity sales company in trading agent × price of electricity sales company in trading agent ×( 1- power industry value-added tax rate);

(3) Transmission and distribution fee = total electricity consumption of users in the current month × transmission and distribution price of user voltage level (note: transmission and distribution price includes value-added tax, line loss and cross subsidy) ×( 1- power industry value-added tax rate).

(4) Basic electricity fee = transformer capacity (or maximum demand) × basic electricity price ×( 1- power industry value-added tax rate).

(5) Government funds and surcharges = total electricity consumption of users in the current month × (national major water conservancy project construction fund+large and medium-sized reservoir resettlement support fund+local small reservoir resettlement support fund+rural power grid reconstruction repayment fund+renewable energy electricity price surcharge )× ×( 1- 0/-power industry value-added tax rate).

(6) Power factor adjustment price = (non-market price+market price+transmission and distribution price+basic price+government funds and surcharges) ×× adjustment rate ×( 1- power industry value-added tax rate).

(7) Punitive electricity charge = total electricity consumption of users in the current month × punitive price increase standard ×( 1- power industry VAT rate).

(8) Tax = (non-market electricity fee+market electricity fee+transmission and distribution fee+basic electricity fee+government fund and surcharge+power factor adjustment electricity fee+punitive electricity fee) × value-added tax rate of power industry.

To sum up, the household electricity price = the electricity bill settled by the user in the current month ÷ the total electricity consumption of the user in the current month.