Molly Ayala
Pennsylvania Power and Light (PPL) Electric Utilities is a major electricity producer in the region, controlling around 8,000 megawatts of power to residential and business customers. PPL's supply rate represents the generation supply costs passed directly to the customer. This default supply rate is also called the Price to Compare or PTC. The PTC default rate is the actual price (generation + transmission) the utility pays for the electricity. PPL customers can pay the default rate or shop rates from a competitive electric supplier. Residential customers pay for the cost to deliver their electricity as well as the amount of electricity supplied. PPL's delivery charges must be approved by the Pennsylvania Public Utilities Commission (PAPUC).
| Characteristics | Values |
|---|---|
| Service Area | Central and Eastern Pennsylvania |
| Customers | 1.4 million |
| Service | Electricity delivery |
| Infrastructure | 50,000 miles of power lines |
| Default Rate | Price to Compare (PTC) |
| PTC Rate | 12.49¢ per kilowatt-hour (kWh) |
| PTC Validity | June 1st, 2025 - November 30th, 2025 |
| PTC Update Frequency | Twice a year (June 1 and December 1) |
| PTC Mechanism | Auctions |
| Bill Payment Options | Payment Assistance, Budget Billing, CARES, OnTrack |
| Competition | Shipley Energy, Arbor |
| PAPUC | Regulates PPL's default service rates |
| Deregulation | Allows alternate suppliers to offer fixed electric rates |
| Rewards Program | Available with Shipley Energy |
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What You'll Learn
Default rate vs. competitive supplier rates
Pennsylvania Power and Light (PPL) is a utility company that supplies electricity to cities in eastern Pennsylvania, including Lancaster, Harrisburg, Bethlehem, and Allentown.
PPL customers have two options for purchasing electricity: they can either pay the PPL default rate, also known as the "price to compare" (PTC), or they can shop for rates from competitive electric suppliers. The PTC is the rate customers pay if they do not choose an electricity supplier and is updated twice a year on June 1st and December 1st. This default rate represents the actual price the utility pays for the electricity, including the cost of generation and transmission. It is worth noting that PPL's PTC rates are determined through auctions held twice a year.
On the other hand, customers who opt for competitive supplier rates can usually lock in a competitive rate that offers price certainty. By comparing rates from different providers, customers can find good deals and cheaper plans. This is especially beneficial for businesses, as commercial electricity rates tend to be substantially higher than residential rates. By exploring the market, businesses can save a significant amount on their energy bills, allowing them to allocate more funds to growth and development.
When considering default rates versus competitive supplier rates, it is essential to understand the potential savings. For example, customers can use online tools, such as a savings calculator, to estimate their potential savings by switching to a competitive supplier. Additionally, it is crucial to review the Electricity Facts Label (EFL) for each plan, as it provides detailed information on pricing, including price per kilowatt-hour (kWh) and other charges.
In summary, PPL customers in Pennsylvania have the option to choose between the default rate, or PTC, and competitive supplier rates. While the default rate offers convenience and a regulated price, shopping for competitive rates allows customers to find potential savings and lock in price certainty. By understanding their energy needs and comparing rates, customers can make informed decisions that align with their budget and preferences.
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Price per kilowatt-hour (kWh)
Pennsylvania Power and Light (PPL) Electric Utilities offers electricity to 1.4 million customers in Pennsylvania. The company offers a default fixed-rate monthly payment plan in all coverage areas. The price per kilowatt-hour (kWh) depends on energy usage.
The "price to compare" (PTC) is a benchmark rate set by the local utility company that allows customers to compare their standard electricity rate with offers from other retail suppliers. The PTC default rate represents the actual price (generation + transmission) the utility pays for the electricity. The PTC rate includes the generator company's price for making the electricity and the cost to transmit it from power stations over high-tension power lines to PPL's local electrical switch yards. The PTC rates are set by holding auctions, which are currently held twice a year, and change every June 1 and December 1. The current PPL PTC is 12.49¢ per kWh, effective June 1, 2025, through November 30, 2025.
PPL customers can also choose their electricity provider and realize potential savings on their electricity supply rate. When customers switch electricity providers, they can control their electricity supply charges, including their electricity supply rate, contract length, and applicable terms. Several companies, such as Shipley Energy, offer fixed electric rates to PPL customers. These rates are often more competitive than the government or utility company rates.
PPL customers can also use a platform called Arbor to find the best rates in their service area. Arbor scans the market and switches customers to the best rate when their contract term is expiring.
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Delivery charges
Pennsylvania Power and Light (PPL) Electric Utilities delivers electricity to 1.4 million customers in Pennsylvania. PPL's supply rate, also known as the "Price to Compare" (PTC), is a benchmark rate that includes the cost of electricity generation and transmission. The PTC is updated on June 1st and December 1st each year and is determined through auctions held twice a year.
Regarding delivery charges, PPL customers in Pennsylvania pay a fixed rate that covers the cost of transmitting electricity through PPL's power lines. These delivery charges are separate from the supply charges, which represent the price for the amount of electricity used. The delivery charges include infrastructure operating costs, maintenance, and a profit margin for PPL. All PPL customers pay the same delivery rates, regardless of their energy supplier. These rates are regulated by the Pennsylvania Public Utilities Commission (PAPUC), ensuring fair pricing for all consumers.
PPL's delivery charges cover the maintenance and operation of their extensive infrastructure, which includes approximately 50,000 miles of power lines. This vast network ensures reliable electricity delivery to homes and businesses across Pennsylvania. PPL also offers various incentives to its customers, such as smaller energy bills through increased energy efficiency. Additionally, PPL assists low-income customers with their heating bills, demonstrating their commitment to supporting the community.
While PPL handles the delivery of electricity, customers have the freedom to choose their electricity supplier and electric rate in Pennsylvania's deregulated energy market. This means that consumers can shop around for the best rates and select an alternative supplier if they find a more competitive offer. The availability of fixed and variable rate plans empowers customers to make informed choices based on their usage patterns and preferences.
To make informed decisions, PPL customers can refer to their current bill, past usage, and the PPL PTC rate to estimate the cost of different plans. Additionally, they can utilise platforms like PAPowerSwitch to compare electricity plans and find the most suitable option for their needs. By understanding the breakdown of delivery charges and supply charges, PPL customers can effectively manage their electricity costs and take advantage of the choices available in Pennsylvania's energy market.
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Supply charges
PPL customers in Pennsylvania have the freedom to choose their electricity provider and supplier, allowing them to compare and select the best rates for their needs. This is known as Energy Choice, introduced in 1997 through the Electricity Generation Choice and Competition Act.
The "price to compare" (PTC) is a benchmark rate set by the local utility company, which helps customers understand the standard electricity rate and make informed decisions when choosing an alternative supplier. The PTC includes the cost of electricity generation and transmission, covering the expenses incurred by the utility company in producing and delivering electricity to customers.
PPL's PTC rates are determined through auctions held twice a year, resulting in rate changes on June 1 and December 1. As of June 1, 2025, the PPL PTC rate was 12.49 cents per kilowatt-hour (kWh).
It is important to note that PPL's supply charges are passed on to customers without any mark-up, ensuring that customers pay the same rate that the utility pays for the electricity.
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$11.55
Payment assistance programs
PPL Electric Utilities is an electricity supplier in central and eastern Pennsylvania. The company offers a default fixed-rate monthly payment plan in all coverage areas. The default rate, also known as the "price to compare" (PTC), is updated on June 1st and December 1st each year. This rate includes the cost of electricity generation and transmission.
The PAPUC oversees PPL's default service rates, which are set by holding auctions twice a year. All PPL customers pay the same delivery rates, which cover the cost of transmitting electricity to homes and include operating costs, maintenance, and profit.
There are various payment assistance programs available to help with utility bills:
- LIHEAP and WAP are government programs that help pay for heating, cooling, and home weatherization costs.
- Lifeline is a federal program that assists low-income individuals with discounted telephone or internet services.
- Customers of PPL Electric Utilities can use a guarantor who is a creditworthy customer and can pay their bills if they are unable to.
- Arbor is a company that scans the market and provides customers of PP&L Electric Utilities with the best rates in their service area.
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Frequently asked questions
The pricing for PPL electricity depends on the plan you choose. The current PPL price to compare is 12.49¢ per kilowatt-hour (kWh) effective June 1st, 2025, through November 30th, 2025. This is also known as the default rate.
The default rate, also known as the price to compare (PTC), is the benchmark rate set by your local utility company. This allows you to compare their standard electricity rate with offers from other retail suppliers.
The PTC rate changes twice a year on June 1st and December 1st.
There are dozens of electricity suppliers to choose from in Pennsylvania. Some popular options include Shipley Energy, West Penn Power, Duquesne Light Company, and Penelec Power.
When choosing an electricity supplier, consider the contract details, pricing, and the company's reputation. Look for a company that offers a fair electric rate, a clear contract, and good customer service.
