PPL Electricity Rates Climb Ahead of the Holiday Season

Beginning December 1, 2025, PPL residential customers will see another 4% increase in their monthly electricity costs. While the difference may seem minor, it comes as the second hike in the price to compare (PTC) this year alone– raising the cost of electricity by over 20% since January for households.

However, just because the Pennsylvania Public Utilities Commission (PUC) has approved this winter’s rate hike doesn’t mean you’re locked into a higher bill. Most residential customers can protect their budgets from rate hikes this season by shopping around with retail electricity providers for cheaper energy rates. In an effort to help you make the best choice for your household this winter, we’re breaking down the real impact of rising PTC rates on your wallet and why it’s happening. We’ll also dive into programs available to help if you’re facing challenges managing steep electricity costs.

What is the new PPL Price to Compare?

The default supply rate, also known as the price to compare (PTC), for PPL is increasing from 12.491¢ per kWh to 12.953¢ on December 1, 2025. This 4% increase comes as part of the utility’s biannual adjustment to keep pace with the rising cost of generation seen in 2025.

So what does this mean in practical terms for your bill? A residential customer using around 1000 kWh per month in PPL’s service area can expect an increase of $15-$30 on their monthly bill or $300 yearly.

To make matters even more expensive, a separate distribution rate hike request has been filed with the Pennsylvania Public Utilities Commission (PUC) to increase rates even further. If approved, the PTC rate will rise again on July 1, 2026 to pay for infrastructure upgrades and grid resilience in PPL’s service area. However, it’s important to note that this rate has not been approved by the PUC yet and remains under investigation.

Why is the PTC rising?

To understand why the PTC is increasing, you’ll need to understand PPL’s role as a utility provider. While PPL is responsible for delivering electricity to homes and businesses throughout southeastern Pennsylvania, it does not generate electricity.

This means that an uptick in the PTC is actually reflective of a volatile wholesale energy market and increasing energy generation costs. While there are a number of reasons driving cost increases, the main ones are:

Capacity Cost Surges: The regional power grid operation, PJM Interconnection, held capacity auctions that ended in significantly higher prices. These capacity costs are fees that utilities pay to ensure enough power generation to meet peak demand. This is especially important during extreme weather events such as snowstorms and intense heatwaves.
Demand Growth: Recently there has been a rise in demand for electricity from major industries, including data centers, at the same time that consumers are broadening energy usage. This growing demand has created strain on the electricity grid and driven up power prices rapidly.
Natural Gas Volatility: Natural gas continues to be a main fuel source for energy generation into 2026, however a higher, “new normal” for natural gas has translated into increased electricity generation costs.

Pro Tip: Remember, PPL does not profit from these generation supply costs, even though they appear on your monthly electricity bill. Generation supply costs are simply passed through, directly to customers.

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Managing Rising Costs of Electricity

If you’re a PPL customer worried about the impact of rising electricity rates on your budget, we’re here to help. There are two immediate paths you can take to help mitigate the impact for your wallet:

Shop for a New Electricity Supplier

The deregulated energy market in Pennsylvania allows you to shop for an alternative electricity provider for your home based on price, contract terms, and other factors. This competition gives you access to the cheapest electricity rates for your home or business. If you choose to shop around for a new electricity supplier, make sure to find a fixed-rate plan that offers a lower price per kWh than PPL’s price to compare (PTC) of 12.953¢.

Additionally, make sure that you’re using a reputable electricity marketplace. While PA Power Switch is the official website for Pennsylvania residents to shop, EnergyBot also offers competitive pricing on fixed-rate electricity plans from licensed suppliers. You can get a personalized offer and real-rate breakdown with EnergyBot in minutes to save you time and money.

Improve Energy Efficiency with State and Federal Programs

Residents of PPL’s service area that are in need of financial assistance or help with long-term energy saving strategies can access several programs:

LIHEAP: The federal Low-Income Home Energy Assistance Program provides grants to homes in need to help with winter heating bills and energy emergencies. While this program is federally funded it’s run by the state of Pennsylvania.
Operation HELP: This program is PPL’s charitable fund that can provide cash grants to help eligible customers. This can go towards any time of home heating on your energy bill, including electricity, gas, or oil.
WRAP: WRAP is a weatherization program where qualifying residents can get a free home energy assessment, access to energy education materials, and free energy efficiency products, including insulation and caulking, to reduce wasted energy.

For more information regarding eligibility for these programs, visit our Home Energy Assistance page or Pennsylvania’s state assistance program website.

The upcoming rate change for PPL’s price to compare is a reminder that periodically comparing rates from alternative electricity suppliers is the best defense against the rising cost of energy. While this upcoming increase may seem small, it’s just the most recent step in a long climbing PTC rate. Since 2020 PPL customers have seen an increase of almost 66% in the price to compare– driving up household expenses significantly.

Compare supplier rates today with EnergyBot to keep your home warm while staying within your budget this holiday season and beyond.

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