Pennsylvania customers looking to save money on their electric rate shouldn't plan on seeing any meaningful rate relief at PPL Electric Utilities when the summer ends, according to a preliminary estimate of PPL's September electric generation rate.
Currently, residential customers who don't shop for an alternative electric supplier and instead buy default power supply from PPL pay 9.036 cents per kilowatt-hour (kWh) under the "Price to Compare." If an alternative supplier offers a rate below the Price to Compare, it means the customer would save money by switching their electric supplier.
PPL's current 9.036 cent residential Price to Compare is effective through August 31. Starting September 1, 2014, a new Price to Compare will take effect.
While the final September Price to Compare is not known yet, customers should not expect the end of summer heat to mean any significant drop in their electric rate if they continue to buy from PPL.
That's because PPL is forecasting the September residential Price to Compare at 8.881 cents per kWh, or only 1% lower. PPL's forecast is only a preliminary estimate and is subject to change.
In contrast, current residential electric rates from many competing electric generation suppliers in the PPL service area are in the low-to-mid 8-cent range, or below both the existing PPL Price to Compare and the projected September Price to Compare.
Small and mid-sized business customers at PPL Electric aren't due for a significant rate cut either come September.
PPL's September small business Price to Compare is projected at 8.9¢ per kWh, only 7% lower than the summer Price to Compare of 9.585¢ per kWh.