FirstEnergy Announces Rate Surges for PA Utilities - EnergyBot

FirstEnergy Announces Rate Surges for PA Utilities

Residents served by FirstEnergy’s utilities, including Med-Ed, Penelec, Penn Power, and West Penn Power customers, are all facing an increase of 5% to 9% on their electricity bills.

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FirstEnergy Announces Rate Surges for PA Utilities
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Dan Schilens By Dan Schilens

Temperatures aren’t the only thing on the rise this summer in Pennsylvania — many residents are looking at steep increases in their electricity bills due to new base rates. Residents served by FirstEnergy’s utilities, including Med-Ed, Penelec, Penn Power, and West Penn Power customers, are all facing an increase of 5% to 9% on their electricity bills. Although these rates were approved by the Pennsylvania Public Utility Commission (PUC), that doesn’t mean they’re the best for your monthly bill. Many customers can still save money on their electricity bills by comparing alternative suppliers to FirstEnergy rates.

To help you determine which path to power is the best for your home or business, we’ll be breaking down the reasons for the increase in the Price to Compare (PTC), along with the actual impact on your wallet. We’ll also dive into programs available to help you if your facing challenges managing these increased energy costs.

Why now? The Cost of Higher Capacity

To many consumers, these increases are coming as a bit of a shock, but for industry experts they’ve been a long time coming. The main reason for these rate increases across all four FirstEnergy Pennsylvania utilities is a significant surge in capacity costs that’s being directly passed through to customers.

Capacity refers to the costs associated with ensuring there’s enough power generation available to meet the area’s electricity demands, especially during extreme weather. Last summer, PJM Interconnection, the organization that manages the grid operator for the mid-Atlantic region, conducted a capacity auction that saw a dramatic price increase– surging 833% compared to in 2023. Since PJM ensures grid reliability, these costs are a necessary component of electricity service.

Highlights

  • FirstEnergy’s Pennsylvania utilities (Met-Ed, Penn Power, West Penn Power, and Penelec) saw the “Price to Compare,” increase between 5% to 8% on June 1.
  • This rate hike is caused primarily by a surge in capacity costs, which ensures appropriate power generation for peak electricity usage and demand.
  • Pennsylvania residents can switch electricity providers to third-party suppliers in order to mitigate cost increases and save money. They can take advantage of tools like EnergyBot to shop for the best electricity plan and provider.

The Breakdown: Rate Increases by Local Utility

While the underlying reason remains the same across all FirstEnergy utilities, FIrstEnergy rate increases vary slightly depending on their region. To help you understand how the Price to Compare (PTC) increases on the generation supply portion will affect your overall electricity bill and the benchmark rate for comparing offers from other suppliers.

Pro Tip: These rates will be in effect June 1, 2025 through May 31, 2026 so now is the time to start shopping for the best energy plan for your home or business.

Met-Ed Price to Compare

The PTC was formerly 11.011 cents per kWh and increased just over 8% to 11.903 per kWh. For a typical residential customer using 1000 kWh per month, this translates to an estimated $14 increase on your total monthly bill.

Penelec Price to Compare

Penelec customers saw an increase of about 5%, with the rate moving from 10.474 cents per kWh to 11.003 cents per kWh. For a customer using 1000kWh per month, you’d see an estimated $15 increase on your total bill.

West Penn Power Price to Compare

The PTC saw a jump from 9.481 cents per kWh to 10.317 cents per kWh, meaning an increase of approximately 8.9%. On average, a customer using 1000 kWh per month will see an estimated $13 increase on your total monthly bill.

Pro TIp: These figures represent estimates for typical residential usage. The actual increase on your monthly bill will depend on the size of your home and personal energy usage. The more energy you use the greater an increase you will see on your bill. Additionally, these adjustments primarily affect the generation portion of your bill. Distribution and other service charges remain regulated.

Assistance Programs for Electricity

It’s no surprise that significant increases in electricity bills can create financial strain for many folks, especially as it’s getting hot out. To help, FirstEnergy, along with the state of Pennsylvania, offer several programs to assist customers in need. If you’re concerned about your ability to make payments, consider the following options.

Low-Income Home Energy Assistance Program (LIHEAP)

The Low-Income Home Energy Assistance Program, also known as LIHEAP, is a federally funded program that provides cash assistance to eligible low-income households to help pay for essential heating and cooling bills. Each state has different guidelines, but you can find more information on their resources here.

Customer Assistance Program (CAP)

Each FirstEnergy utility (Met-Ed, Penelec, Penn Power, and West Penn Power) offers its own CAP program. These assistance programs provide eligible low-income customers with a reduced energy bill based on your income and energy usage. Contact your local utility directly to inquire about eligibility and enrollment.

Payment Arrangements and Extensions

FirstEnergy can, and will, work with customers to set up flexible payment plans to manage past-due balances. To learn more about these programs and determine if you’re eligible after the recent rate changes, you can visit your specific FirstEnergy utility’s website or contact them directly.

Pro Tip: To prevent disruptions in service, make sure that you act quickly in anticipation of any difficulties paying your energy bill. The sooner you can request assistance, the more likely you are to receive the necessary tools.

Compare FirstEnergy Rates: Secure a Fixed-Rate Today

Pennsylvania residents have a couple of options available to compare competitive electric rates and shop for a fixed-rate plan to avoid FirstEnergy’s Price to Compare fluctuations:

  1. Utilize the PA Power Website

Operated by the Pennsylvania Public Utilities Commission, the PA Power Switch website offers a comprehensive marketplace with hundreds of competing energy offers. While this may provide a vast array of choices, it’s often overwhelming to navigate and find plans that fit your specific needs.

  1. Simplify Your Search with EnergyBot

EnergyBot has helped thousands of customers just like you find the right electricity plan for their home or business. With over a thousand 5-star reviews, we’re committed to helping you find exactly what you need. Use our guided shopping flow to narrow down plans to those that fit your needs best– whether that’s the cheapest electricity rates, superior customer service, or green options.