Philadelphia

Deregulated Electricity in the City of Philadelphia

The City of Brotherly Love came into the world of deregulated electricity late in the game – the beginning of 2011 in fact. Since then almost one-fifth of original PEPCO customers have compared providers and made the switch to a different electric provider.

PECO energy is the regulated utility provider that serves the city of Philadelphia and surrounding areas. Pennsylvania electric choice allows PECO energy customers the ability to shop for lower priced electricity from alternative suppliers. However, PECO energy continues to deliver power to the homes and businesses of Philadelphia regardless of the electric supplier chosen.

Even though residents of Philadelphia have taken advantage of options up to 20% less than the default rates of PECO, they are still paying 27.4 percent more than the U.S. city average for electricity as of July 2011, as measured by the Consumer Price Index (CPI).

Keeping Rates Low

Although the city itself is paying high for their gas and electricity providers, there are ways to make sure you are getting the best rates that are available. Factors to consider when making the switch are:

• Variability. Will my rate ever change during the course of my contract? (Many contracts do have variable rates; they are a more risky than fixed-rate contracts but also more likely to save you money.)
• Length. How long of a contract am I signing?
• Bonus. Does the company offer any extra incentive to sign up with them?

Understand that signing up with a new provider won’t endanger your supply of electricity. Your power comes across the same wires, and receives the same protections and guarantees as it did before. (i.e., you won’t be subject to sudden blackouts due to the new company). The only major difference you’ll see is the savings on your monthly bill.