Pennsylvania electricity supply rates from PECO and PPL increase for consumers on December 1

PHILADELPHIA (WPVI) — Consumers will have to be prepared to pay more to keep the lights on.

The Pennsylvania Public Utility Commission raised the price on electric supply rates on December 1.

PECO customers can expect an increase of 6% to 11 cents per kilowatt hour.

RELATED: How you can save money on your next electric bill as rates rise

PPL jumped 3.7% to about 13 cents per kilowatt hour.

The Utility Commission urges customers concerned about their bills to learn about switching providers for cheaper rates.

Customers can also call their electric company to discuss assistance programs available to them.

Visit PA Power Switch for more information on comparing rates.

Read PECO’s full statement:

“PECO works hard to provide safe and reliable electric and natural gas service at the lowest possible cost. On December 1, 2025, customers saw an increase in the electric supply portion of their bill and a decrease in the natural gas supply portion of their bill. This is for the supply portion of their bill, which may be purchased through a competing energy supplier. For customers who do not purchase their electricity or natural gas from a competing supplier, these costs are passed on directly to customers at the same price that PECO pays.

Many factors influence energy prices and energy markets have seen sharp increases in the cost of both electricity and natural gas. PJM, the regional power transmission organization, runs competitive capacity auctions to procure future power generation resources to ensure grid reliability. The PJM capacity market significantly influences electricity supply prices. Prices in the most recent auction increased further due to anticipated challenges with the availability of resources to meet growing demand and a reduction in supply due to power plant retirements. Capacity prices are part of the supply charge and act as a type of insurance for grid reliability under changing conditions, including demand surges and extreme weather conditions.

PECO purchases power on behalf of customers who are not purchasing power during the spring and fall auctions. The effect of the capacity auction is mixed into the overall supply that PECO acquires from customers who are not purchasing. Ensuring enough energy to meet growing demand is a challenge that requires a holistic approach, and we stand ready to work with policymakers and stakeholders to determine the best approach. Although there are challenges, PECO plans to be part of the solution. Such a solution would involve an “all of the above” commitment to building and preserving baseload power generation capacity.

We want to make sure customers not only understand their bills, but also the resources available to them to reduce energy use and save money. We also want to ensure customers are well-informed about the factors affecting their bill so they can better understand rates and consider all possible ways to save energy and money. We encourage customers to visit peco.com/BillSupport where they will find additional information on understanding their energy bills, rates and more.”