Chapter 14 • Unit VI

Exercise 14.3: Utility Bills

Comprehensive guide and practice questions for CBSE Class 11 Applied Mathematics curriculum (2026-27).

Comprehensive Concepts & Principles: Utility Bills

Utility Billing mathematically models the consumption and cost accounting of essential public services, primarily electricity, municipal water, and piped natural gas (PNG). In CBSE Class 11 Applied Mathematics, utility bill computations apply piecewise step functions, progressive tiered pricing, standing fixed demand charges, regulatory fuel surcharges, and municipal duties.

Key Utility Billing Components:
  • Kilowatt-Hour (kWh) or "Unit": The standard commercial unit of electrical energy. $1 \text{ Unit} = 1 \text{ kWh} = 1000 \text{ watts} \times 3600 \text{ seconds} = 3.6 \times 10^6 \text{ Joules}$.
    $$\text{Units Consumed} = \text{Current Meter Reading} - \text{Previous Meter Reading}$$
  • Telescopic (Tiered) Tariff Slabs: A progressive pricing model designed to promote conservation, where increasing blocks of consumption are billed at progressively higher per-unit rates.
  • Fixed / Sanctioned Load Charges: A mandatory recurring monthly fee based on the customer's contracted maximum connected electrical load in kilowatts (kW) or kilovolt-amperes (kVA).
  • Fuel Surcharge Adjustment (FSA): A variable tariff component adjusted periodically by power utilities to reflect fluctuations in the wholesale price of coal and natural gas used for generation.
  • Electricity Duty: A statutory state government consumption tax levied as a percentage (e.g. 5% to 9%) on energy charges and fixed charges.
  • Water Consumption Unit: Billed in kilolitres (kL) where $1 \text{ kL} = 1,000 \text{ litres} = 1 \text{ m}^3$. Often includes a sewerage maintenance surcharge (typically 60% of basic water charges).

Mathematical Framework & Tariff Equations

Total monthly utility cost follows an affine piecewise linear function:

$$\text{Total Electricity Bill} = \text{Energy Charges (EC)} + \text{Fixed Charges (FC)} + \text{FSA} + \text{Electricity Duty (ED)} - \text{Rebates}$$
• $\text{Energy Charges } (EC) = \sum_{i=1}^k u_i \cdot r_i$ (where $u_i$ is units in slab $i$, $r_i$ is rate per unit)
• $\text{Fixed Charges } (FC) = \text{Connected Load (kW)} \times \text{Rate per kW}$
• $\text{FSA} = \text{Total Units Consumed} \times \text{FSA Rate per Unit}$
• $\text{Electricity Duty } (ED) = (EC + FC) \times \text{Duty Rate}\%$

Worked Benchmark Examples

Example 1 (Telescopic Electricity Bill Calculation):

A household with a sanctioned load of $3 \text{ kW}$ consumes $340 \text{ units}$ of electricity in a month. The tariff structure is:
• First 100 units @ ₹3.50/unit
• Next 100 units (101-200) @ ₹4.80/unit
• Next 140 units (above 200) @ ₹6.50/unit
Fixed charge is ₹75 per kW per month. Fuel surcharge is ₹0.30 per unit. Electricity duty is 5% on (Energy Charges + Fixed Charges). Calculate the total bill amount.

Show Step-by-Step Solution

Step 1: Compute Energy Charges (Telescopic Slabs):
• Slab 1 (First 100 units): $100 \times 3.50 = ₹350$
• Slab 2 (Next 100 units): $100 \times 4.80 = ₹480$
• Slab 3 (Remaining 140 units): $140 \times 6.50 = ₹910$
Total Energy Charges ($EC$) = $350 + 480 + 910 = \mathbf{₹1,740}$.

Step 2: Compute Fixed Charges:
Fixed Charges ($FC$) = $3 \text{ kW} \times 75 = \mathbf{₹225}$.

Step 3: Compute Fuel Surcharge (FSA):
$\text{FSA} = 340 \times 0.30 = \mathbf{₹102}$.

Step 4: Compute Electricity Duty (5%):
$\text{Base for Duty} = EC + FC = 1,740 + 225 = ₹1,965$.
$\text{Duty} = 5\% \text{ of } 1,965 = 0.05 \times 1,965 = \mathbf{₹98.25}$.

Step 5: Total Monthly Bill:
$\text{Total Bill} = 1,740 + 225 + 102 + 98.25 = \mathbf{₹2,165.25}$ (Rounded off to ₹2,165).

Example 2 (Municipal Water & Sewerage Bill):

A residential society consumes $45 \text{ kL}$ of water in a billing cycle. Slabs: First $20 \text{ kL}$ @ ₹5/kL; remaining consumption @ ₹12/kL. Sewerage charge is 60% of water charges, plus a flat meter service fee of ₹50. Calculate the total water bill.

Show Step-by-Step Solution

Water Charges:
• First 20 kL: $20 \times 5 = ₹100$
• Next 25 kL (45 - 20): $25 \times 12 = ₹300$
Total Water Consumption Charges = $100 + 300 = \mathbf{₹400}$.

Sewerage Charges:
$\text{Sewerage} = 60\% \text{ of } 400 = 0.60 \times 400 = \mathbf{₹240}$.

Meter Fee: ₹50.
Total Water Bill: $400 + 240 + 50 = \mathbf{₹690}$.

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