Winter energy bills might not be such a shock with a budget plan.
Consumers Energy introduced its Budget Plan this month for customers who didn’t like seeing high heating bills in the winter.
The plan would take a customer’s annual energy cost and divide it into 12 equal payments.
“The benefit for the customer is instead of seeing very high bills in the winter, it spreads it out over the warmer months so they don’t have any surprises,” said Jeff Holyfield, Consumers Energy spokesman.
The typical customer will see a monthly budget of about $80, which Holyfield said is based on past energy usage and gas prices.
Last year, 22 percent of Consumers Energy’s natural gas customers were on the Budget Plan and more are expected to enroll this year.
“Nobody likes surprises with their budgets, and most students have to keep houses year-round,” Holyfield said. “This is a good option for them to manage their heating cost next winter, so instead of coming back to school in January after break and seeing a big gas bill they would know what it is right up front.”
But not every student thinks this plan is beneficial.
Marketing senior Shahada Hardwick said he doesn’t believe the plan will save him money and would rather pay a different amount each month.
“It could be beneficial in the wintertime, but in the summer you are not going to want to pay more than what you use,” he said. “I would rather pay for just what I use.”
Holyfield said this plan is perfect for someone on a fixed budget, especially students.
“Students have a set number they can put in the budget,” he said. “It is always those extra expenses that throw you the curve; this way students can avoid having that curve thrown at them.”
Economics Professor Charles Ballard said while he doesn’t use plans like this, it could be helpful for those who have a strict budget.
“There is a way to smooth out the budget yourself,” he said. “You could save a little in the summer and spend a little in the winter, but some people find it hard to plan ahead in that way and it might be easier to get one of those plans.”
Peter Kakela, a resource development professor, said many students he talked to were surprised when they got their winter energy bills.
“Students I know living off campus, they would be getting $200 or $300 bills and then suddenly they would get a $600 bill, which really hurt,” he said. “If they got it leveled they would know it as a regular thing.”
