Residential and commercial electric customers who continue to buy their power supply from PPL Electric Utilities -- instead of shopping with an alternative electric supplier -- are not expected to see any rate relief in the fall, when PPL updates its electric rate.
Instead of buying power from their local utility, electric customers in Pennsylvania can shop for their power supplies among competing energy suppliers offering lower rates. When customers choose an electric supplier, their local utility, like PPL, still delivers the power into the customer's home or business over its wires, with no interruption in service. Shopping for a lower electric rate doesn't affect your outage restoration time or how PPL treats you -- in fact, PPL encourages its customers to shop for the best deal because it no longer owns power plants and just buys power on the open market for its customers.
If Pennsylvania customers don't shop for a competing electric supplier, their local utility provides them with "default" service, at an electric rate called the "Price to Compare." The Price to Compare changes every three months, and at PPL is due to change again on September 1.
PPL's most recent forecast of upcoming Prices to Compare which will take effect on September 1 do not provide any rate relief from PPL's currently above-market electric rates.
Specifically, PPL forecasts that the Price to Compare for small business customers will be 7.59¢/kWh starting September 1, barely lower than the current 7.72¢/kWh.
Both rates are higher than the rates available to business customers shopping for an alternative electric supplier. While specific rates will vary with each business's usage and characteristics, most small and mid-sized businesses rates 10-15 percent off PPL's electric rates, with savings higher for large businesses.
Residential customers won't see any rate relief in September either, and are expected to see a slight increase in electric rates. Specifically, the residential PPL Price to Compare is expected to hit 8.37¢/kWh on September 1, up from 8.23¢/kWh.