Compare Philadelphia Electricity Rates

Philadelphia Electricity Rates

Residential and commercial customers in Philadelphia can lower the supply rate on the electric bill by choosing a competitive electric supplier. Philadelphia electricity rates have seen a downward trend since Pennsylvania introduced legislation in 1996 that allows energy suppliers to compete. The increase in the number of energy suppliers in the market has put downward pressure on electricity rates. Before energy deregulation, utility companies had a monopoly over the generation, transmission, and delivery of power to customers in their respective service areas. If a customer was not happy about the rate, there was nothing they could do. Thanks to energy deregulation, that has all changed.

The city of Philadelphia has a population of just over 1.5 million. The city is located on the southeast corner of Pennsylvania along the Delaware River. The winters in Philadelphia are cold! The average temperature during this time sits just above freezing. As can be expected, the demand for energy picks up during the cold winter months.

Philadelphia Utility Companies

Residents living in Philadelphia must set up their electricity account through PECO. PECO is the main utility company in charge of maintaining and managing the power lines that deliver electricity to customers within its service area. The delivery charge is regulated and is overseen by the Pennsylvania Public Utility Commission (PAPUC). Given the logistics involved, it will not be possible for a customer to switch over to another utility company for delivery services.

Philadelphia Power Outages

If you recently changed electric suppliers and experience a power outage, then you will need to contact the local utility company. PECO is in charge of fixing all issues dealing with power outages within its service area. Thanks to upgrades in the power lines, potential power outages can be detected and even diverted before they can occur.

PECO Customer Contact Number: 1-800-841-4141

Philadelphia Price to Compare

Along with delivering power to its customers, PECO is responsible for providing a default rate for supply services to customers who have not switched over to a competing energy supplier. The default rate is not a long-term fixed-rate and often changes every few months. The default rate is commonly referred to as the price to compare. The customer can use the price to compare while comparing energy suppliers. If an energy supplier is offering a supply rate that is lower than the price to compare, then the customer will be saving money by switching.

Philadelphia Energy Deregulation

In 1996, Pennsylvania introduced the Electricity Generation Choice and Competition Act, changing the landscape of the electricity market in the state. The responsibilities of the utility companies became unbundled, opening the door for competing energy suppliers to offer generation services to residents of Philadelphia. The generation or supply services is the cost of generating the power the customer is estimated to use during the term of the agreement. Locking in a low supply rate can help save 10-30% off the electric bill!

Average Price of Pennsylvania Residential Electric Rate

Customer	Dec. 2020	Dec. 2019	Percentage Change
Residential	13.15¢	13.98¢	5.9%

Average Price of Pennsylvania Commercial Electric Rate

Customer	Dec. 2020	Dec. 2019	Percentage Change
Commercial	8.36¢	8.69¢	3.8%

Average Price of Pennsylvania Industrial Electric Rate

Customer	Dec. 2020	Dec. 2019	Percentage Change
Industrial	6.08¢	6.35¢	4.3%

Philadelphia Renewable Energy

Thanks to the abundance of rivers in Pennsylvania, hydropower is the top producer of renewable energy in the state representing two-fifths of the state’s renewable electricity according to the U.S. Energy Information Administration. Pennsylvania’s Alternative Energy Portfolio Standards Act of 2004 requires a percentage of electricity sold in the state to be generated from renewable energy sources. Examples of renewable energy sources include wind, solar, and biofuels. The required percentages are expected to increase in the coming years. This regulation has created an incentive for companies to invest in facilities such as wind and solar farms.

If you’re looking to go green, then you won’t have to look too far. More energy suppliers in Pennsylvania are offering 100% renewable energy plans. These plans will generate the number of kilowatt-hours you are estimated to use from renewable energy sources and upload it to the power grid.

Energy Suppliers in Philadelphia

Energy suppliers that provide service in the state must be licensed by the Pennsylvania Public Utility Commission (PAPUC). A list of qualified energy suppliers can be found on PAPUC’s website. Below are just a few energy suppliers that have built a reputation on competitive rates and quality service.

Choosing an Electric Supplier

If you recently moved to Philadelphia, then you need to take advantage of energy deregulation! Energy choice has provided residents more options when selecting an energy plan. Choosing an electric supplier depends on the type of energy plan that fits your needs. Below are a few things to keep in mind while shopping for a new supplier.

Is There an Early Cancellation Fee?

Most energy plans will come with an early cancellation fee if you switch electric suppliers before the expiration of the energy contract. Early cancellation fees will be listed in the terms and conditions of the energy plan. These fees can cost up to $300 so make sure you’re at the end of the term before changing energy suppliers!

Do You Offer 100% Renewable Energy Plans?

More energy suppliers are giving the option to customers to go 100% green. However, some plans may be advertised as green but may only generate a small percentage of power from renewable energy sources. If you decide to go green, make sure it’s 100% green!

Are There Hidden Fees?

If you come across a supply rate that looks too good to be true, it probably is. Electric suppliers may advertise a low rate but tack on additional fees, such as a meter fee, that can jack up the total cost of the energy plan. All additional fees will be listed in the energy plan’s terms and conditions.

What Happens at the End of my Term?

Most energy suppliers will switch their customers to a monthly variable rate after the initial term expires. Once this happens don’t be surprised to have the electric bill double or even triple on you in a single billing period. We recommend shopping around for a new rate plan a month before the expiration of your term.