May 20, 2011
PPL Electric Utilities customers will have a new price to compare starting June 1 to help them shop among competitive electricity suppliers.
The new price to compare for residential customers will be 8.77 cents per kilowatt-hour, a decrease from the current 9.27 cents per kilowatt-hour. A typical residential customer using 1,000 kilowatt-hours a month could save about $5 monthly and possibly save even more by shopping with alternative suppliers.
This decrease applies to all residential customers who have not chosen a third-party supplier and therefore receive "default supply" service from PPL Electric Utilities. The default supply price is for generation and transmission service and does not include the distribution charges, which apply to all customers and cover the utility's costs to deliver power and provide customer service.
The new rates and price to compare will become effective June 1, 2011, and will be adjusted every three months going forward to reflect the cost of purchases for wholesale power and adjustments based on actual customer usage during the prior period. The rate change for all rate schedules can be found at www.pplelectric.com/choice.
Rates for small-business customers
For small-business customers, the price to compare will increase to 13.03 cents per kilowatt-hour from the current 9.76 cents per kilowatt-hour. The increase reflects power procurement costs for these customers and a reconciliation of an under-collection of supply costs during the first five months of the year.
"The increase in the price to compare for small-business customers shows it's more important than ever for customers to explore their options and shop for the best supplier that can meet their needs," said David G. DeCampli, president of PPL Electric Utilities. "The market is active and evolving, and customers can likely find an alternative electricity supplier that may provide a better option, whether they are shopping for the most competitive price or looking for green energy choices or other products."
Changes to time-use-rates
The price to compare for time-of-use customers – available for residential and small-business customers – will increase for both the off-peak and on-peak periods, effective June 1 through Aug. 31.
The new time-of-use rates for residential customers (RS) and residential thermal storage customers (RTS) will be the same.
The new rate for on-peak hours, which is 1-6 p.m. weekdays, will be 12.37 cents per kilowatt-hour and 10.65 cents per kilowatt-hour during off-peak hours. The previous rates for RS customers on the time-of-use rate were 7.54 cents per kilowatt-hour for on-peak hours and 6.1 cents per kilowatt-hour for off-peak hours. The previous rates for the RTS time-of-use plan were 7.58 cents per kilowatt-hour for on-peak hours and 5.83 cents per kilowatt-hour for off-peak hours.
For general service (GS) customers – mostly small offices and shops – the new on-peak price will be 16.24 cents per kilowatt-hour, and the off-peak price will be 12.45 cents per kilowatt-hour during the peak hours of 7 a.m. to 7 p.m. weekdays.
The higher prices reflect market prices for power in the summertime when demand generally is higher and adjustments based on actual customer usage during the prior five-month period.
More customers are shopping
Currently, more than 540,000 customers, or about 38 percent of the utility's customers, have chosen other electric suppliers. That's up more than 9 percent since Jan. 1 and represents more than two-thirds of all electricity delivered.
DeCampli reminds customers that PPL Electric Utilities is not affected if customers switch to alternate suppliers, and customers still may find lower prices even though the price to compare has decreased slightly for most residential customers.
"No one can predict how prices will change in the future. That's why it's so important for customers to stay informed and look for opportunities to save," DeCampli said.
Customers can compare supplier offers to PPL Electric Utilities' "price to compare" by visiting the Pennsylvania Public Utility Commission's website at www.papowerswitch.com. Information on shopping and PPL Electric Utilities' rates also are available at www.pplelectric.com/choice.
Additionally, customers can take advantage of the E-Power programs PPL Electric Utilities offers to help save energy and save money. Tips, tools and incentives such as the Energy Analyzer, energy efficiency rebate programs, discounts on compact fluorescent lighting, appliance recycling, and home assessments and weatherization can help customers manage their electricity use and reduce their bills.
PPL Electric Utilities, a subsidiary of PPL Corporation (NYSE: PPL), provides electric delivery services to about 1.4 million customers in Pennsylvania and has consistently ranked among the best companies for customer service in the United States. More information is available at www.pplelectric.com.