<Tr> <Td> </Td> <Td> This article needs additional citations for verification . Please help improve this article by adding citations to reliable sources . Unsourced material may be challenged and removed . (November 2016) (Learn how and when to remove this template message) </Td> </Tr> <P> Electricity pricing (sometimes referred to as electricity tariff or the price of electricity) varies widely from country to country and may vary significantly from locality to locality within a particular country . Many factors go into determining an electricity tariff, such as the price of power generation, government subsidies, local weather patterns, transmission and distribution infrastructure, and industry regulation . "Electricity prices generally reflect the cost to build, finance, maintain, and operate power plants and the electricity grid ." Some utilities are for - profit, and their prices will also include a financial return for shareholders and owners . Electricity tariffs vary by type of customer, typically by residential, commercial, and industrial connections . Electricity price forecasting is the method by which a generator, utility company, or large industrial consumer can predict the wholesale prices of electricity with reasonable accuracy . The cost to supply electricity varies minute by minute . </P> <P> In standard regulated monopoly markets, electricity rates typically vary for residential, commercial and industrial customers . The rates are determined through a regulatory process that is overseen by a public utility commission . </P> <P> Prices for any single class of electricity customer can vary by time - of - day or by the capacity or nature of the supply circuit (e.g., 5 kW, 12 kW, 18 kW, 24 kW are typical in some of the large developed countries); for industrial customers, single - phase vs. 3 - phase, etc . Prices are usually highest for commercial and residential consumers because of the additional costs associated with stepping down their distribution voltage . The price of power for industrial customers is relatively the same as the wholesale price of electricity, because they consume more power at higher voltages . Supplying electricity at transmission - level high voltages is more efficient, and therefore less expensive . </P>

Who is the entity that decides the rate of residential electricity price