Shopping for PECO Power Rates
Electric bills in the PECO service area are increasingly being reduced as a result of Pennsylvania electricity choice laws that allow consumers to shop for competitive power rates. The creation of a competitive electricity market has created an abundance of electric rate options that customers can now choose between. Energy shoppers are becoming more aware of their options as compettiive electricity suppliers have increased their marketing budgets in an attempt to gain a share of the 1.4 million residential customers serviced by PECO Energy.
Many Pennsylvania conusmers new to energy choice don’t always understand how competition can benefit them. The primary reason most people begin their research into competitive power rates is to save money. The ability to purchase green energy, such as wind power, is another example of options that are brough to the market through energy competition and deregulation. Competiton in the energy markets also forces energy companies to compete for customers by improving their customer service.
Shopping for PECO power rates doesn’t have to be a difficult proposition. Many people are surprised to learn that PECO Energy is not hurt financially when their consumers shop for competitive power rates. The reason is that PECO Energy does not make money on the generation portion of the bill. Instead their revenues and profits are derived from the distribution rates which are regulated by the Pennsylvania Public Utility Commission. The revenues from the competitive portion of the bill, which includes generation and transmission rates, are passed through PECO Energy to competitive power companies who have won auctions for the right to serve a portion of PECO Energy customers who are on default service.
PECO customers looking to shop for low power rates for the first time can take the competitive rates being offered to them and directly compare it to the “Price to Compare” found on their PECO electric bill. The “Price to Compare” is the official term for the default electric rate that consumers pay who have not shopped for competitive power. At the bottom of the PECO electric bill, beneath all of the line item charges, a sentence will read on the bill that states “Your Price to compare for this billing period is $0.XXXX”. From this rate you will have an apples-to-apples comparison to competitive electric rates since all Pennsylvania electricity companies are required to present their rates for residential customers in this format. The same is not true for commercial electricity rates where energy companies can offer complicated and exotic rate structures.
The PECO Energy market has been one of the most successful electric choice residential markets in the country. A variety of options exist for power customers looking to lower their electric bill. Below is a list of current offers for PECO Energy customers. All power rates below are updated on a daily basis.