
Electricity is a fundamental form of energy that occurs naturally and can be artificially produced. It is expressed in terms of the movement and interaction of electrons. There are several terms and units of measurement related to electricity, such as volts, amps, watts, and ohms, which can often be confusing. Understanding these terms and how they are related can help make sense of the specifications and requirements of electrical devices and appliances.
Characteristics and Values of Electricity
| Characteristics | Values |
|---|---|
| Definition | A fundamental form of energy observable in positive and negative forms that occurs naturally or is artificially produced. |
| Observable Forms | Lightning, aurora borealis, or through the rubbing of two unlike things (e.g., glass and silk) |
| Measurement Units | Volts, Amps, Watts, and Ohms |
| Volts | Measure of electrical potential difference or electromotive force |
| Amps | Unit of measure for electrical current, calculated by the strength of electromagnetic force |
| Watts | Unit of measure for power, indicating the amount of electricity required to turn on and operate a device |
| Ohms | Measure of electrical resistance, or the power required to make electrons flow through an object |
| Billing | Charged based on usage, typically in cents per kilowatt-hour; fixed-rate plans also available |
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What You'll Learn

Volts, amps, watts, and ohms
Volts
Volts, or voltage, measure the potential for energy to travel or the force that causes electrons to flow through a conductor. In other words, voltage is the pressure that forces electric current to flow through a wire. This is analogous to water pressure, which is the force that moves water through a hose. The higher the voltage, the greater the force.
Amps
Amps, or ampere, is a unit of measure for electrical current. It measures the rate at which electrons flow through a conductor. Amps are calculated by measuring the strength of the electromagnetic force between two electrical conductors carrying electric current. Amperage measures the rate at which current flows through an electrical circuit. In the water analogy, amperage is like the rate of water flow.
Watts
Watts measure the amount of power that an electrical current can generate or the amount of work that an electrical current can do. In other words, watts are a measure of power consumed. They tell us how much work can be done in a certain amount of time. Watt-hours (Wh) or kilowatt hours (kWh) measure how much power an appliance consumes over time.
Ohms
Ohms measure the resistance inherent in any electrical wire or the electrical resistance in a conductor. In other words, ohms are what make it difficult for electrons to flow through a conductor. The higher the resistance, the more difficult it is for electrons to flow and the lower the current will be. In the water analogy, ohms are like the diameter of the hose. A wide hose has very little resistance and allows water to flow through it quickly.
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Energy charges and rates
The energy charge or rate is the price in cents that a consumer pays their electricity provider for the actual electricity consumed during a billing period. This is separate from fixed monthly customer fees. For example, the average electricity rate in Texas is 11 cents. Fixed-rate plans mean the energy charge is consistent from month to month, so the bill will vary based on usage.
There are also two types of charges on an electric bill: Power Supply and Delivery Service. Power Supply charges include costs related to creating the electricity and transmitting it over high-voltage lines. These costs are directly related to how much electricity is used and are measured in kWh. Delivery Service charges are the costs of providing services and local energy distribution, including metering, billing, and the equipment and maintenance required to deliver electricity from the transmission system to the consumer.
Demand charges are another way of billing customers based on their share of the total peak demand for energy on the system, measured in kW instead of kWh. This is calculated based on the maximum amount of power required over a single hour or a fifteen-minute period in a given month.
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How electricity is produced
The production of electricity involves converting other forms of energy into electrical energy. This process is carried out in power stations, also known as power plants. Power plants use electromechanical generators to produce electricity, driven by heat engines fuelled by combustion or nuclear fission. Additionally, they harness kinetic energy from flowing water and wind.
Electricity is essentially the flow of electrons from one place to another, specifically around a circuit. Electrons are negatively charged subatomic particles. When an electron is freed from an atom and forced to move, electricity is produced. The outermost electrons, or valence electrons, require the least amount of force to be released from an atom.
There are three main types of fuel used to initiate the process of electricity generation: fossil fuels (coal, oil, and natural gas), nuclear power, and renewable alternatives (wind, solar, and hydropower). These fuels create steam or fluid that powers a turbine, which turns a magnet in a generator. This movement induces the flow of electrons, thereby generating electricity.
The generator-produced electric current is then transported through thick wires to transformers, which amplify the voltage. This high-voltage electricity is transmitted to the power grid and distributed to various substations. The substations reduce the voltage for use in large settings, such as factories. From there, electricity is channelled through local transformers and power lines to reach our homes.
Electricity can also be produced without the use of turbines. Some common examples include solar photovoltaic (PV) systems and internal-combustion engines. Solar PV cells directly convert sunlight into electricity, powering small devices like wristwatches or larger setups like modules and panels. Another method is through ocean thermal energy conversion (OTEC), which harnesses the temperature difference between ocean water at various depths to power a turbine for electricity generation.
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Electric bills and fees
Electric bills can be confusing, with various fees and charges to consider. The main component of your electric bill is the charge for the electricity you use, measured in kilowatts per hour (kWh). This is also known as the 'Energy Charge' or 'Energy Rate' and is the price you pay your electricity provider for the electricity you consumed during that billing period. With a fixed-rate plan, this energy charge remains consistent, so your bill will fluctuate according to your usage. Your bill will likely show an 'average rate per kWh', which is calculated by dividing your total bill (including all fees and taxes) by your kWh usage.
In addition to the energy charge, there are several other fees that may appear on your electric bill. These include:
- Transmission and Distribution Service Provider (TDSP) fees: These are charges for the maintenance of your local electrical infrastructure, such as power poles and lines. TDSP fees can be a fixed charge per bill or a variable charge based on your electricity usage.
- Taxes: These are mandated by the state and are applied based on your bill amount. Taxes are assessed by city, county, and state governments.
- Late fees: If you don't pay your bill by the due date, your provider may charge a late fee, usually limited to a percentage of your outstanding balance.
- Cancellation fees: If you switch away from your current provider, you may be charged an Early Termination Fee (ETF) unless you are on a month-to-month plan with no contract.
- Fixed charges: These are mandatory fees that every consumer must pay, regardless of their energy usage. They are typically applied to cover the costs of efficiency targets and incentives.
It's important to note that the specific fees and charges on your electric bill may vary depending on your location and electricity provider. Understanding these components can help you make sense of your electric bill and potentially identify areas where you can save energy or reduce costs.
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Electric current and power
Electric current is the flow of electrons through a complete circuit of conductors. It is used to power everything from our lights to our trains, as well as smaller devices like cell phones. The movement of electrons is random, but when we apply a voltage to the conductor, the free electrons will move in the same direction, creating a current. The flow of electrons through a conductor is also influenced by the conductor's resistance, which is measured in ohms. Voltage, also known as electric potential, is measured in volts and represents the power difference between one point and another. The unit of measurement for electric current is the ampere, or amp, which refers to the number of charges that move through the wire per second.
There are different types of electric current, including direct current (DC) and alternating current (AC). Direct current consists of the displacement of electrical charges that do not change their direction over time. Alternating current, on the other hand, has a direction and plane of movement that vary cyclically, making it a more efficient option for homes and businesses.
Electric power is the rate at which electrical energy is transferred by an electric circuit, or the rate of doing work. It is measured in watts, which is the SI unit of power and is named after the Scottish engineer James Watt. The watt can be defined as the rate at which work is done when a current of one ampere flows through a network with an electrical potential difference of one volt. In other words, it is the product of voltage and current. Power can be used to indicate the level of heat dissipated in a unit or component, define the power consumed, or specify the amount of power generated by a system.
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Frequently asked questions
Electricity is a fundamental form of energy that occurs naturally, as in lightning, or can be artificially produced by rubbing two unlike things together, through the action of chemicals, or by means of a generator. It is observable in positive and negative forms and is expressed in terms of the movement and interaction of electrons.
Volts, amps, and watts are terms often used in electricity. A volt measures the electrical potential difference or electromotive force. It measures how much energy each charging unit carries when moving between two points in a system. An amp, or ampere, is a unit of measure for electrical current and measures the rate at which electrons flow through a conductor. A watt is a unit of measure for power and measures how much electricity an appliance requires to turn on and operate.
An ohm measures electrical resistance, or how much power it takes to make electrons flow through an object. This is also known as the resistance created by wiring and devices as electricity passes through.











































