While these new PECO electric rates reflect adjustments in the Price to Compare (PTC), it doesn’t guarantee that they’re the best. Many residents can find more competitive rates through alternative electricity suppliers.
By Jordan Watts
If you’re a PECO customer in Philadelphia or the surrounding areas, you’ve likely already heard about the recent rate increases. The utility company’s new electric rates went into effect on June 1, 2025, raising the price for energy by about 13%. While these new PECO electric rates reflect adjustments in the Price to Compare (PTC), it doesn’t guarantee that they’re the most competitive for consumers. Many Pennsylvania residents can find more competitive rates through alternative electricity suppliers.
The Price to Compare (PTC) is the benchmark for electricity supply costs and the default rate for customers in deregulated areas of Pennsylvania. Price to Compare rates are made up of two parts: the generation charge and transmission charge. When we discuss an increase in PECO’s Price to Compare, we’re specifically talking about adjustments to generation prices.
The recent change in PECO electricity rates involves the Generation Supply Adjustment (GSA), which is the largest component of the PTC and remains regulated by the Pennsylvania Public Utilities Commission (PUC).
As of June 1, this means that the new GSA for residential customers will be $0.09508/kWh, jumping 13% from the previous rate of $0.08381/kWh. However, it’s important to note that you’re not locked in to the PTC. In fact, many customers choose to compare PECO electricity rates with competitive retail electricity suppliers to ensure they get the best deal.
Although there are a number of factors driving up PECO electricity rates, the biggest contributing factor is increasing demand on the grid that has created a surge in capacity costs. Last summer PJM Interconnection, the company who manages the grid for Pennsylvania and surrounding states, hosted an auction that indicated rising wholesale energy costs for consumers within their service areas.
Many of these costs are associated with updating and maintaining the grid to ensure that there’s enough generation capacity for peak usage seasons (like summer) and to prevent outages. Since these costs are essential for the grid, they’re now being passed on directly to PA energy customers.
While the new electricity rates have already taken effect, you can still mitigate their impact on your PECO bill. One of the most effective ways to reduce your monthly bill is to explore competitive retail electricity suppliers in your area to ensure that you get the best fixed rate on the market.
Pennsylvania residents aren’t stuck with the PECO rates just because they’re your utility provider. You can shop around for the best electricity plan suppliers and lock in a fixed-rate to protect yourself from fluctuations in the PECO Price to Compare. To get started, try one of the following avenues:
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.
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.
Pro Tip: These plans use energy bought on the wholesale market, at wholesale prices, often resulting in greater savings for your home or business. All providers are reviewed by EnergyBot to ensure you receive the best bang for your buck.
While the recent rate spike will certainly impact household budgets, most PECO customers can still save despite PECO’s PTC rate changes. The trick is to take proactive steps in finding the best plan for your energy bill and reducing energy usage through energy efficiency programs. By taking advantage of resources, like EnergyBot, to review alternative electricity suppliers you can make an informed decision about your energy costs.
