Beatrice Lang
Pennsylvania residents have the right to choose their electricity supplier, but the local utility company is still responsible for delivering power to homes and businesses. The Pennsylvania Public Utility Commission regulates essential utilities, ensuring safe and reliable service at reasonable rates. Residents can compare competing offers from electricity providers and choose the best plan for their needs, with some suppliers providing dedicated account managers for expert advice. As of May 2023, over 1.2 million residents and 285,000 businesses have switched to a retail electricity provider in Pennsylvania, with many major utilities and independent suppliers serving the state.
| Characteristics | Values |
|---|---|
| Number of companies | Many, including Direct Energy, Constellation, Clearview Energy, and Major Energy |
| Number of PA residents with the right to choose their electricity supplier | Over 1.2 million as of May 2023 |
| Number of businesses with the right to choose their electricity supplier | Over 285,000 as of May 2023 |
| Percentage of energy supplied by companies other than the utility company | More than 55% of all energy supplied in the state as of May 2023 |
| Utility companies | Duquesne Light, Met-Ed, Pike County Light & Power, PECO, PPL Electric, Penelec, Penn Power, and West Penn Power |
| Largest utility company | PECO |
| Areas served by PECO | Philadelphia region |
| Areas served by Duquesne Light | Pittsburgh area and surrounding counties |
| Areas served by Met-Ed | Eastern and southeastern Pennsylvania |
| Areas served by PPL Electric | Central and eastern Pennsylvania |
| Price to Compare | A benchmark rate that includes the costs of electric generation and transmission but not distribution charges |
| Price to Compare update frequency | Periodically, often quarterly or bi-annually |
| Purpose of Price to Compare | To help evaluate offers from competitive suppliers |
| Number of customers served by Direct Energy | More than 4 million residential and commercial customers |
| Number of customers served by Constellation | Over 2.5 million residential and business customers |
| Number of customers served by Clearview Energy | Not specified |
| Number of customers served by Major Energy | Not specified |
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What You'll Learn
Comparing rates to find the best electricity provider
In 1996, the Electricity Generation Customer Choice and Competition Act was passed in Pennsylvania, paving the way for the deregulation of the state's electricity market. This meant that, instead of being tied to a single energy provider, customers could now choose from a range of suppliers and plans to find the best rates and services for their needs.
Today, there are many companies providing electricity to Pennsylvania residents, and comparing their rates can help you find the best provider for your home or business. Here are some steps to guide you through the process:
- Check Your Current Rate and Usage: Start by looking at your recent electric bill to establish a baseline for comparison. Note your current rate per kilowatt-hour (kWh) and your average monthly electricity usage.
- Understand Rate Types: Familiarize yourself with the difference between fixed and variable rates. With a fixed-rate plan, you'll pay the same rate per kWh throughout your contract, regardless of market fluctuations. This option offers stability and predictability. On the other hand, variable-rate plans change with the market, so your rate can go up or down each month. These plans may offer a lower introductory rate but carry the risk of higher bills if prices rise.
- Consider Your Preferences: Decide which type of rate plan aligns better with your preferences. Do you prioritize stability and predictability in billing, or do you prefer the flexibility of being able to switch plans at any time without a contract locking you in?
- Compare Rates from Area Providers: Utilize online tools and marketplaces, such as PAPowerSwitch, EnergyBot, or Choose Energy, to compare rates from providers in your area. Simply enter your ZIP code to view the most accurate and up-to-date rates and plans available to you.
- Evaluate Additional Factors: In addition to rates, consider other factors such as contract length, charitable contributions, and renewable energy options. Shorter contracts offer flexibility, while longer contracts provide rate stability. Some providers may also offer renewable energy plans, and you can explore no-deposit options if you wish to avoid paying a deposit.
By following these steps and comparing rates, you can make an informed decision to find the best electricity provider for your needs in Pennsylvania.
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Switching energy providers to save on bills
In Pennsylvania, residents have the right to shop for their electricity supplier, thanks to the Electric Choice and Competition Act of 1997. This means that you can switch energy providers to save on your bills.
Firstly, you will need to gather your electricity and gas bills. You will need to know your MPRN for electricity and your GPRN for gas. It is also helpful to know your annual usage, which will be on your bill. If not, you can multiply your monthly usage by 12 to get an average estimate. Knowing your annual usage will help you to get an accurate estimate of your savings. You should also have your bank details to hand if you are going to set up a direct debit.
Next, you can compare rates and suppliers. You can use price comparison websites to find the best deal for you. You can also check out the various suppliers' websites to see if they have any special offers or promotions. You can also consider the charitable contributions of the company if this is important to you. You can then choose a supplier and tariff that suits your needs.
Once you have chosen a supplier, you will need to give them the information from your energy bill. The new supplier will then contact you and tell you when they will switch your energy supply over to them. This should take up to five working days. You will then receive a bill from your new supplier, which will include information about your electric usage, plan information, taxes, and fees. You will still pay the same bill as you always have, but it will now be a consolidated bill that includes charges from your local utility and your supplier.
It is important to note that you may incur exit fees for breaking a contract with your current supplier. You should also be aware that your monthly payments may increase at certain times of the year when energy use is higher, to keep your account in credit.
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Top-reviewed electricity suppliers in Pennsylvania
In 1997, the Electric Choice and Competition Act gave Pennsylvania residents the right to shop for their own electricity supplier. As of May 2023, over 1.2 million residents and 285,000 businesses have switched to a retail electricity provider.
There are over 100 electricity providers licensed by the PA Public Utility Commission, ranging from small municipal-based companies to large national providers. With so many options, it can be challenging to choose the right one for your needs.
Constellation
Constellation has earned the highest Provider Score and has taken the top spot as the Best Electricity Provider in Pennsylvania for the second year in a row. Constellation offers flexible plans that fit practically any need, including 100% renewable, smart-home, and A/C protection plans.
Direct Energy
Direct Energy has been recognised as the Most Charitable Electricity Provider. Their charitable contributions include a Neighbor-to-Neighbor Bill Assistance program that helps relieve up to $700 annually for low-income customers, donations to Bike for Students, and Meals for Families, which raised over $8,000 and prepared over 13,000 meals for local citizens. Direct Energy serves more than 4 million residential and commercial customers.
Green Mountain Energy
Green Mountain Energy has been named the Most Innovative Pennsylvania Electricity Provider. As a pioneer in the renewable energy market, Green Mountain Energy has helped its consumers avoid nearly 100 billion pounds in CO2 emissions. They have 67 solar farms and 8 wind farms across the country, allowing customers to opt for wind or solar energy plans, with the option for paperless and auto-pay discounts. They also offer a solar buyback program that gives credit for excess renewable energy produced by a home solar system.
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How to understand your monthly electricity bill
In Pennsylvania, you have the freedom to choose your electricity supplier, or the company that generates your electricity. This freedom gives you access to more options, competitive rates, and control over your electricity. However, the utility company that delivers the electricity to your home remains the same and cannot be switched.
Your monthly electricity bill is made up of two sections: delivery charges and supply charges. Delivery charges are further divided into two categories: a fixed monthly fee, which usually ranges from $4 to $10, and a delivery charge based on the kilowatt-hour (kWh) for the amount of electricity you use. These delivery charges are regulated by the state and remain the same regardless of your electricity provider or plan. On the other hand, supply charges come from your chosen electricity provider and cover the cost of the electricity you consume.
To understand your monthly electricity bill, it is important to know how much electricity your household consumes throughout the year. Analyzing your past electric bills can provide insight into monthly usage fluctuations, with summer months typically resulting in higher usage. Understanding the energy charges on your bill is crucial for managing your budget, as generation supply costs typically make up most of an average electric bill.
Additionally, when choosing an electricity supplier, be sure to compare rates and plan options to find the best deal. Consider factors such as fixed or variable rates, renewable energy options, and the company's history of community involvement or charitable contributions. Keep in mind that power companies often impose heavy cancellation fees, hidden charges, and penalties, so carefully review the contract terms before making a decision.
Finally, to reduce your electricity expenses, consider investing in a solar energy system. Pennsylvania receives ample sunlight to power households and store energy for later use. Solar energy can provide energy independence and help offset the rising electricity costs in the state.
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Charitable contributions of electricity companies
In 2025, there are several electricity suppliers in Pennsylvania, and residents can choose their own supplier. The Pennsylvania Public Utility Commission regulates these utilities to ensure safe and reliable service at reasonable rates.
Many electricity companies in the state offer charitable contributions and community involvement initiatives, which play a significant role in the purchasing decisions of consumers. Direct Energy, for example, has been recognised for its charitable efforts, including its Neighbor-to-Neighbor Bill Assistance program, which provides up to $700 in relief annually to low-income customers. The company has also donated to initiatives such as Bike for Students and Meals for Families, which packed 600 boxes of food for local citizens and families.
Energy Harbor is another electricity supplier in Pennsylvania that has demonstrated a commitment to charitable contributions and sustainability. The company has partnered with the United Way Foundation, raising $500,000 during the 2022 United Way Annual Campaign. Energy Harbor also offers a variety of affordable green and carbon-free plans, including 100% renewable energy options, and operates the second-largest non-regulated nuclear fleet in the country.
Constellation, the Best Electricity Provider in Pennsylvania for the second year in a row, also stands out for its outstanding community work through Habitat for Humanity and E2 Energy grants. The company offers flexible plans, excellent customer service, and has over 20 years of experience serving millions of customers.
These companies' initiatives showcase their dedication to supporting local communities and contributing to sustainable practices, which can be essential factors for consumers when choosing an electricity supplier in Pennsylvania.
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Frequently asked questions
There are several companies providing electricity to PA residents. The major utilities in Pennsylvania include Duquesne Light, Met-Ed, PECO, and PPL Electric.
Yes, since the passing of the Electric Choice and Competition Act in 1997, Pennsylvania residents have been able to shop for their own electricity supplier.
You can switch electricity providers by comparing rates and plans on websites like PAPowerSwitch or ElectricityRates.com. You will need a copy of a recent electric bill to switch providers.
When choosing a new electricity provider, it is important to compare rates and plans to find the best option for your needs. You should also be aware of any hidden fees that may be associated with certain plans or providers. Additionally, you may want to consider choosing a provider with a history of community involvement and charitable contributions.
