Penn Power Price To Compare Increase
Last month, FirstEnergy Pennsylvania utility companies announced new Price To Compare (PTC) rates, approved by the Public Utilities Commission (PUC) starting September 1. Among these companies is Penn Power, an electric utility that serves approximately 165,000 customers within 1,100 square miles of western Pennsylvania.
Its commercial customers will see their tariffed rate, called ‘Price to Compare’ increase to 6.762 cents per kWh from the current 6.529 cents per kWh or approximately 3.6%. What does that mean for the Pennsylvanian businesses? Those customers that don’t switch their electric supply to a retail electric provider (REP) before September 2020 will see their electric bills go up by approximately $5 each month.
The increased price is the result of FirstEnergy Corp’s long-term distribution improvement projects in Pennsylvania, with an additional $572 million in capital investments needed over the next five years. These costs, now approved by the PPUC, will have to be passed down to the customers in the form of rate hikes.