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azureazure-billing-api

Billing calculation of rates


Azure Rate Card API returns a MeterRates field (see documentation). Azure UsageAggregate gives a quantity (see documentation).

According to the azure support page. This is the forum to ask questions.

So, how are meter rates applied?

Example meter rates:

{"0":20, "100":15, "200":10}

If I have a quantity of 175 is the amount 100*20 + 75*15 or 175*15?

Why specify an included quantity?

Example: rates:{"0":23} with included quantitiy 10 could be expressed as rates:

{"0":0, "10":23}

Solution

  • example meter rates: {"0":20, "100":15, "200":10}

    if I have a quantity of 175 is the amount 100*20 + 75*15 or 175*15 ?

    The pricing is tiered pricing. So when you get the rates it essentially tells you that:

    • from 0 - 99 units, the unit rate is 20
    • from 100 - 199 units, the unit rate is 15
    • from 200 units and above, the unit rate is 10

    Based on this logic, your calculation should be:

    99 * 20 + 75 * 15 = 3105

    One thing which confuses me though is the upper limit. Above calculation is based on the information I received from Azure Billing team. What confused me is what would happen if the consumption is say 99.5 units? For the first 99 units it is fine but I am not sure how the additional 0.5 units will be calculated.