Energy competition and choice has created low prices options for businesses in Philadelphia. The local utility in Philadelphia, PECO, recently raised their supply default electric rates by 10% on average. The default rates are the PECO price to compare prices businesses pay who have not shopped for low electric rates.

Despite the energy price increases for price to compare customers, competitive electric rates have stayed low despite increased volatility in the natural gas market. Businesses in Philadelphia can lower their electric bill by as much as 25% if they take the time to find low electric rates in PECO.

Electricity shopping is going on in the PECO electric utility region which includes the city of Philadelphia. According to the Pennsylvania Public Utility Commission 40% of PECO commercial customers are receiving their electric supply from an alternative supplier, with 56% of the total electricity consumption going to alternative suppliers. This shows that the highest power consumption customers are the ones doing the electric shopping. Many small businesses are still unaware of electric choice in Pennsylvania. It is these small mom and pop shops that can sometimes use the savings the most, and low competitive electric rates can provide those electric bill savings.

Many people have compared the success of the Pennsylvania electric choice market to that of Texas which is widely considered the most successful energy choice state. Texas, which deregulated their electricity market in 2002, had a 58% switch rate five years after competition began. Today Dallas energy customers have dozens of electricity companies to choose from, including a variety of green power options. After only 7 months of true electric choice, PECO has reached a 20% residential customer switch rate.

Update PECO Commercial Rates:

Electric choice is working in Connecticut as competitive electricity prices continue to fall for United Illuminating power customers . It is hard to argue against 15% savings, which is what current (Summer 2011) low electric rates in the United Illuminating (UI) territory are yielding for customers who have switched off of default rates and moved towards competitive electricity prices.

UI customers are still relatively new to the idea of receiving multiple electric rate offers. Though Connecticut electricity has been deregulated for some years now, competitive electricity offers were not offered to residential customers until just a few years ago. Savings were small at first, but with the UI Generation Service Charge (GSV) rates recently increasing and wholesale rates remaining low, competitive electric companies have been able to offer attractive electricity prices.

UI electricity customers can be reassured that selecting a low electric rate from a alternative supplier will not upset UI or end the business relationship. The United Illuminating Company is in the business of delivering power, and they continue to charge regulated rates to all of their customers for this service. They also continue to send their customers the monthly electric bill. The generation default rate that customers pay with UI is passed through to competitive electricity companies who have won auctions for the right to service default paying customers. Believe it or not, even if you haven’t selected a competitive supplier in Connecticut, you are already paying a competitive supplier through default service.

Electricity competition is working in the United Illuminating Company service area because customers can choose from a variety of electric suppliers at electricity prices that are lower than default rates.

Current Low Electric Rate for United Illuminating Customers:

Residential electricity customers of ComEd are seeing rate savings by competitive electricity companies for the first time since the Electric Choice Laws in Illinois were established in 2007. With ComEd price to compare rates having been established through May 2012, customers can look at competitive electric rates and see clear savings that will show up on their monthly electric bill.

People can find lower ComEd rates by shopping for competitive electric rates at online energy comparison sites. Current savings are well above 10%. The ComEd price to compare includes electricity generation and transmission charges. The distribution rates found on the ComEd electric bill continue to be regulated by the Illinois Utility Commission and charged by ComEd. Choosing a competitive electricity company for electricity supply is simply about finding and paying a lower electric rate. When a switch is made there are no service interruptions and you continue to receive your monthly electric bill from ComEd.

The misconception about electric choice in Illinois is that by selecting an alternative electric company you are leaving ComEd. The reality is that you remain a ComEd customer no matter who you choose for electricity generation. Furthermore, ComEd does not profit off of the default price to compare generation rate, they simply pass on the revenues from customers to electricity companies. ComEd does not care if their customers shop for competitive rates, their profits are earned from the regulate distribution charges.

Electric suppliers have started to enter the ComEd market and offer products to residential customer, and more are expected over the next year as ComEd becomes an active residential electric choice market.

PSEG electricity customers can save as much as 17% on their electric supply bills by selecting an alternative electric supplier. Electricity shopping has been picking up steam in recent months as more competitive electricity companies have filed and received electricity supplier licenses from the New Jersey Board of Public Utilities. However, many consumers are still uninformed that New Jersey in now an electric choice market, and even more are uninformed about just how much they can save.

In the past, surveys done in New Jersey regarding market awareness on electric choice has shown that many people just don’t want to go through the “hassle” of shopping for electricity because the end result is only a few dollars a month in savings. However, as competition has heated up and pushed competitive pricing down, the savings are now becoming quite more significant, especially for medium and large houses.  In the past, electricity savings in New Jersey had been  reserved for the largest commercial and industrial customers in the state.  Things have certainly changed as more and more alternative suppliers compete for the 3.3 million New Jersey residential electricity consumers.

PSEG customers using 1,000 KWh would save $20 a month ($240 per year) by choosing the lowest rate available compared to the PSEG default rate.  Homes using 2,000 KWh would save more than twice that ($46.60 a month and $559.20 a year) because PSEG default rates get higher the more power you consume.  A good rule of thumb for figuring out your average monthly KWh is to figure you will use 1 KWh for every square foot of home (1,500 square foot home would use 1,500 KWh average per month).

 
Current Rate Offers From Competitive Suppliers (Updated Daily):

The vast majority of Philadelphia electricity customers are serviced by the utility PECO Energy.  At the beginning of 2011 PECO customers had their electric rates, which had been capped since 1997, lifted.  This launched the beginning of true electric choice in the area.

PECO energy customers have the ability to shop and compare electric rates, which  have been resulting in electric bill savings for thousands of Philadelphia residences and businesses.  Customers can compare competitive electricity rates in Philadelphia against the PECO price to compare.  PECO default rates increased in July, making competitive electric rates even more attractive.

Competitive Philadelphia electricity rates are providing as much as 18% savings versus PECO default rates for residential customers, and between 10-20% savings for business electricity customers.

Below are current PECO Residential Electric Rates

Below are current PECO Business Electric Rates

PECO electricity customers will see an increase on their electric bills on June 1, followed by another increase on July 1.  Households who receive their electric bills from PECO, an electric utility company who serves most of Philadelphia and the surrounding areas, will be raising their electric rates for customer who are paying the default price to compare rate.

The PECO energy area transitioned to full electric choice at the beginning of the year (2011).  PECO still manages the maintenance of the lines and wires and continues to send their customers the monthly electric bill.  However, PECO is no longer in charge of providing low electric supply rates to their customers.  They only charge regulated fees for the delivery of the power.  They have also been given the responsibility by the state to provide customers who have tno shopped for electricity rates a default supply rate.

These default supply rates will be rising in the summer, however customers can protect themselves from these increases and save money compared to what they are currently paying by selecting a lower electric rate.  The great thing about electric choice in Pennsylvania is that even after a customer chooses a low electric rate, they continue to receive their monthly electric bill from their local utility company (PECO, PPL, Duquesne Light).    Pennsylvania residential electric rates options are available for customers looking to save money and enact their power of electric choice and competition.

Currently customers pay 9.99 cents for electric supply.  On June 1, customers who use more than 500 KWh, which is nearly everyone who lives in a home larger than one bedroom, will see their rates increase by 12% for all consumption above 500 KWh.  On July 1, another increase of about 3-4% on top of the June 1 increase will occur for every KWh consumed by residential customers.

Below are some current competitive offers, all of which are below the current 9.99 cents.  You will save between 10-18% versus the high summer PECO default rates by choosing one of the low electric rates below.  We recommend signing a fixed rate because savings will be guaranteed, as opposed to a variable rate where the rate can change in any given month.

Customers of the Pennsylvania electric utility PECO energy will want to shop and compare electric rates very soon in order to prevent a large energy bill spike this summer.  With gas prices already on the rise and  expected to continue to increase, it is imperative to the personal finance of these energy customers to find lower electricity prices.

For a electricity consumer who uses 1000 KWh a month, the supply portion of the PECO electric bill will increase by more than 10% going from 9.99 cents to over 11 cents starting on July first.  Customers who use more than 1000 KWh will have even higher rates.  PA electric choice is providing savings opportunities for customers, but finding those deals has proved to be difficult for many consumers.

Fortunately, electricity price comparison web sites like www.electricrate.com give PECO energy customers a variety of energy choices with savings and promotions easily identifiable.

Finding a lower electric rate will not take you away from being a PECO energy customer.  PECO energy will continue to serve as your local utility delivering the power to your home or business.  With the Electric Choice Act in effect, PECO no longer is involved in the business of offering competitive generation rates.  They instead only focus on the reliability and maintenance of the power lines and wires.  They are however, mandated by the Public Utility Commission to offer default rates to customers who do not shop for competitive rates.

Electricrate.com provides an easy platform for customers to do energy shopping and compare electric rates being offered to the PECO price to compare default rate.  Current savings of 10-16% are available versus the summer PECO default rates.

Electric bill savings can also be found for Pennsylvania electricity customers who are serviced by the utilities PPL Energy in central Pennsylvania and Duquesne Light in the Pittsburgh area.  As is the case with PECO energy, these energy consumers will remain customers of their respective utility companies no matter which electric supplier they choose.  It is simply about saving money on the electric bill; if you can find a lower rate compared to the default rate then you should switch.

Even after a customer chooses a lower electric rate, they will continue to get their monthly electric bill from their local electricity utility company (PECO, PPL, Duquesne Light).

Electricity rate savings are also available for small businesses throughout the state.  Small business customers of PPL in particular have huge savings potential.  Businesses who have not switched suppliers, and thus are still on the PPL default service, will see their electric bills increase by 15% on June 1 if they do not take action.  If they do shop, they can find savings of about 15% off of current default rates.  If nothing is done the business electric rate will be above 11 cents.  If they shop and compare rates, then they will find competitive electric rates below 8.7 cents.

Energy customers in New Jersey are given a variety of  options when in comes to their energy purchasing decisions.  New Jersey is leading the country in clean energy initiatives with the NJ Clean Energy Program which provides rebates and promotions for consumers looking to purchase energy efficient hardware.  The program also promotes the use of renewable energy sources such as solar and wind and provides financial assistance for consumers and businesses who invest in solar energy systems.

NJ Energy customers have also seen the benefits of an energy choice market where customers are able to shop for competitive electricity and natural gas rates.  Many energy consumers in New Jersey have not used NJ Energy Choice to their advantage because of an unfamiliarity to the program.  Natural gas customers who have not shopped pay a default rate with their utility which is based largely on market price.  In this sense the decision to purchase competitive natural gas is a decision of price protection and certainty; savings versus the default rates cannot be guaranteed because they change on a monthly basis.

On the contrary, utility default electric rates are set for one year at a time, and the default rates for the following year can be estimated within a tight range since a large percentage of that energy is purchased in advance for default rate paying customers.  These buying strategies present opportunities for NJ electricity customers to save money on their electric bills if they find competitive electric rates that are lower than the default rates.  Many electric suppliers in New Jersey are offering electricity prices that will save customers money.  Business customers in particular have big opportunities to save money.  Many small businesses in New Jersey have not chosen a competitive electricity supplier because they do not fully understand their electric bill.

New Jersey electricity customers, both residential and business, can use electric choice information sites to understand energy competition and electricity rate structures so that they can maximize their energy savings.

Electricity customers who are serviced by the utility PSEG are finding savings on their electric bills by shopping for lower electric rates.  Electric shopping in New Jersey is picking up as PSEG and JCPL get ready to set their summer rate increases.

Customers who have not shopped and compared electricity prices are paying high default rates.  The default electricity rates in NJ are set for one year at a time starting on June 1 and ending on May 31.  The summer months (June through September) have a different set of energy rates than the non-summer months (October through May).  While electricity savings are currently available for customers who compare energy prices, the savings are expected to be even greater once the summer default rates take effect on June 1.

In addition to lowering your electric bill, many of the competitive energy suppliers offer promotions such as gift cards and cash back bonuses.  Below are electric rate offers that also have promotional offers.

Electricity choice is certainly becoming a reality in New Jersey.  Customers of PSEG, JCPL, and Atlantic City Electric are seeing more and more electricity options.  One year ago their were less than a handful of options for NJ residential electric customers, now there are about a dozen electricity companies offering electric supply service with more filing the paperwork to enter the market.  True electric competition is taking place in New Jersey.

Compare Competitive PSEG Rates (updated daily):

Electric choice options are heating up in some markets as we begin to enter the high energy summer season.  Customers who use websites to perform electric price comparisons will give themselves access to the most options and highest electric rate savings.

In Philadelphia, electricity customers of PECO energy are experiencing electric choice for the first time and a surprising number of residential and business customers are power shopping for lower energy rates.  PECO energy default rates are going to rise in the summer which has prompted people to explore electric rate options quicker than some had expected.  Because PECO default rates change on a quarterly  basis initial savings have not been huge, but people are starting to see that locking in a low electric rate can be beneficial as it protects you from future increases.  The other side of that argument is that default rates can go down causing you to be stuck paying a higher electric rate with another electric supplier.  While this a possibility, historic energy prices have shown that rates tend to go up in the summer.  Unfortunately, it will probably take a large energy spike for some people to start looking into their electricity choice options

In Texas, which has enjoyed a competitive electricity market since 2002, thousands of customers who had not previously power shopped saw their electric rates triple in the summer of 2008 due to rising natural gas prices.  Electric customers who had previously locked in low rates were not effected by the increases.  Today the majority of Texas electricity customers are in some type of electric supply contract.

New Jersey electricity customers are also getting low electric rate offers that can protect them from summer rate increases.  Performing an energy comparison of all the offers will allow electricity customers to get the lowest offers with the best promotional offers.  Promotional offers as high as a $75 gift card are available in New Jersey.