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Unplugging the Myths


At a lunch meeting recently, someone brought up one of those plug-in devices that claim to lower your electric bill. They asked me why they don’t work and if there was actually anything behind the claims they make. I thought it was a great question because I’m sure there are a lot of people who have seen these products advertised and wondered the same thing. You know the ones. They usually show someone explaining how this little box saved them hundreds of dollars just by plugging it into an outlet.

I understand why these products get people’s attention. Who wouldn’t want to lower their electric bill without changing anything else? We all have those monthly expenses that we would like to see go down, and electricity is one of those things that can be frustrating because so much of it depends on what is happening around your home. A hot summer, a cold winter, or just a few extra loads of laundry can all make a difference. The idea that you could plug something in and have it do the work for you sounds pretty good. Unfortunately, my electric meter has never been very impressed by a good sales pitch.

The reason these products can sound convincing is because they often use real electrical terms. They talk about improving efficiency, reducing wasted energy, or correcting problems with the electricity coming into your home. One of the biggest terms they use is power factor. Power factor is a real electrical concept, and it can be important in certain situations. Large commercial and industrial customers with big motors and equipment running for long periods of time may need to pay attention to power factor.

For the average home, however, this is where things get a little confusing. Most residential customers are billed based on the amount of electricity they use, measured in kilowatt-hours. Your air conditioner running on a hot day, your furnace working during the winter, your water heater keeping up with everyone’s showers, and your appliances running throughout the day are what determine your energy use. Improving power factor does not mean your air conditioner suddenly uses less electricity to cool your home or your refrigerator uses less electricity to keep your food cold. It may change how electricity moves through the system, but it generally does not reduce the amount of electricity your home actually uses.

So why do some people think these devices work? Sometimes it is just a matter of timing. Maybe someone installs one right before the weather changes and their heating or cooling system is not working as hard. Maybe they become more aware of their energy use because they just bought something that was supposed to save energy. They start turning off lights, adjusting the thermostat, or paying attention to things they normally overlook. Those changes can absolutely save energy. The little box may just be getting the credit.

The funny thing about saving energy is that the things that actually work usually are not very exciting. Nobody is making a late-night commercial about changing your furnace filter or sealing a draft around a door. There is probably not going to be a dramatic before-and-after picture showing someone who finally replaced an old light bulb with an LED. Those things may not be exciting, but they are the changes that actually add up over time.

There is nothing wrong with wanting to save money. I think we all do. Before spending money on one of these electric-saving devices, take a few minutes to look into how it actually works and whether it will really reduce the amount of electricity your home uses. When it comes to your electric bill, there usually is not one magic solution. The biggest savings usually come from the simple things we do every day and the small improvements we make around our homes. They may not be as exciting as plugging in a little box, but they are a lot more likely to show up on your next electric bill.