PEPCO Price Hike to Effect Half a Million Customers in 2023 Fourth Quarter
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Lower Your PEPCO MD Electric Bill Now
PEPCO has recently announced steep price hikes for their residential and small business customers in Maryland that will cause many electric bills to rise by over 25% in the coming months. These rate hikes can be avoided if customers start shopping for a lower Maryland electricity rate immediately in order to avoid the rate hike.
Not only can the rate hike be avoided through PEPCO electricity choice, but in some cases customers can find an even lower rate than what they are paying prior to the October 1, 2023 rate increase.
PEPCO MD Residential Rate Increase
Residential customers in Maryland who receive their electric bill from PEPCO and who are on the default standard offer service rate will see a huge 25.95% increase on their supply rate in October 2023 if they don’t find and switch to a lower competitive rate. Fortunately, lower PEPCO electric rates are available and being offered by licensed Maryland electricity suppliers.
PEPCO announced that their default rate will increase from 9.4¢ per kWh, where it has been set since June 1, to 12.01¢. The new higher rate will remain in effect through the end of May 2024. Customers can save a bundle of money by taking the time to switch energy rates in PEPCO.
PEPCO MD Small Business Rate Increase
Small business customers on the PEPCO standard offer service (SOS) default rate will experience a 20.5% increase on their electric bills in October. Similar to the residential rates, the new high small business commercial electric rate will remain in effect through May 31, 2024 if a competitive plan is not selected.
Small businesses in Maryland have seen the price they pay for electricity steadily rising for the last year and a half. The new rate hike will continue that trend for small businesses who receive their electric bill from PEPCO.
As is the case for residential customers, Maryland small businesses can avoid the higher electric rates by shopping for a low commercial electric rate plan. Fixed rate plans will not only help businesses prevent the rate hike, but it will help them avoid further PEPCO rate hikes that could occur after May 2024 if a contract for more than 12 months is secured; a trend that is becoming increasingly more popular among business owners who are looking for some price stability.
Search Small Business Electric Rates Online
Understanding the PEPCO Standard Offer Service
PEPCO’s standard offer service is a default rate for electricity supply service that is charged to all customers who receive their electric bill from PEPCO and who do choose a competitive Maryland electricity rate plan. When a customer does choose a lower competitive electric rate, the new rate replaces the standard offer service default rate on the electric bill.
The PEPCO default rate is determined through an auction process where Maryland electricity suppliers bid for the right to provide electricity to a pool of customers who have not selected a competitive supplier. PEPCO holds the auction for the electricity companies, and then passes through the revenues received for the default rate onto the companies who have won the previously held auctions.
Often competitive Maryland electricity supplier can offer rates below the the default standard offer service rate because they are able to purchase power on the wholesale energy markets whenever they desire and not at a specific date and time as is the case with the auction.
Where do I find my PEPCO Service Number
In order to successfully switch electricity suppliers from PEPCO to a competitive Maryland electricity company you will need to provide the alternative supplier your 22 digit PEPCO Service Number and not your 12 digit PEPCO account number. This is often a great source of confusion for customers and the 22 digit Service Number is not always so easy to find.
Rest assure, we are here to help. The PEPCO Service Number can be found on page 2 of your electric bill right below where it states “Details of Your Electric Charges”. Below is a sample PEPCO electric bill with the Service Number highlighted in yellow.