A surcharge in the context of an electricity bill refers to an additional charge, fee, or tax that is added to the cost of a good or service beyond the initially quoted price
. In the case of electricity bills, surcharges are often used to recover the cost of fuel used to generate electricity
. These surcharges are typically levied on a per-unit basis and are usually revised every quarter
. The revenue collected from surcharges is estimated by dividing the revenue to be recovered by the total sales incurred by the utility company
. Surcharges can be found in various industries, including travel, telecom, and cable, and are often used to offset the cost of higher prices, such as fuel or regulatory fees imposed by the government
. In summary, a surcharge in an electricity bill is an additional charge that covers the cost of fuel used to generate electricity, and it is typically levied on a per-unit basis with revisions made every quarter
