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Pennsylvania Electricity Rates

Pennsylvania Energy Rates

Compare Pennsylvania electricity rates from top energy companies

In 2019, the average Pennsylvania electricity rate was 11.47 cents per kilowatt-hour (¢/kWh).  Currently, the lowest rate available to EnergyBot customers in Pennsylvania is 5.51 cents per kilowatt-hour. 

Energy facts for Pennsylvania from the U.S. Energy Information Administration:

  •  The average Pennsylvania commercial electricity rate is 8.86 ¢/kWh (16% lower than the national average). 
  • The average Pennsylvania residential electricity rate is 14.07 ¢/kWh (7% higher than the national average).
  • About half of Pennsylvania households use natural gas as their primary home heating fuel, and its 49 underground gas storage sites – the most for any state – are key for helping to meet heating demand in the winter.
  • From 2010 to 2018, Pennsylvania's share of electricity generated from natural gas more than doubled to 36%, while the share from coal fell by more than half to 21%.
  • Pennsylvania's marketed natural gas production, primarily from the Marcellus Shale, reached 6.2 trillion cubic feet in 2018, making the state the nation's second-largest natural gas producer after Texas.
  • Pennsylvania was the third-largest coal-producing state in the nation in 2017, and it was the second-largest coal exporter to foreign markets.
  • In 2018, Pennsylvania ranked second in the nation in electricity generation from nuclear power, which supplied 39% of the state's net generation.
Pittsburgh Pennsylvania lit up at night

Energy Deregulation in Pennsylvania

Since Pennsylvania electric deregulation began in 1996, businesses have the power to choose their electricity provider or to continue to purchase from their utility company. For businesses, large and small, the Pennsylvania deregulated market allows you to compare energy plans from top energy suppliers and shop for the best rate. EnergyBot makes it as easy as purchasing a flight online.

In 1994 the Public Utilities Commission began investigating the energy market and published their findings in "The Report and Recommendation on Electric Competition".

Their research convinced the state assembly to pass the Electricity Generation Customer Choice and Competition Act in 1996. Over the next 15 years, Pennsylvania removed market rate caps by region gradually forming a free market.

What is the difference between a Utility and an Energy Provider?

Utilities are the entities in charge of the operation and maintenance of the energy infrastructure, like wires and towers. The local utilities in Pennsylvania include Penn Power, Penelec, Duquesne Light Company, PPL Electric Utilities, West Penn Power, and Met-Ed. Each utility is responsible for transporting electricity from the generators to residential homes and businesses in their specific region of Pennsylvania.

Energy providers in Pennsylvania, like Direct Energy, Entrust, and Public Power, are the competitive energy retailers. Each energy provider buys energy from the wholesale market (the generators) and then re-sells it to consumers (homeowners, renters, and businesses).

In most cases, the consumer (the homeowner, renter, or business) signs a contract with an energy provider for a specific energy plan. The basic energy plan details the rate class, the energy rate per kWh, the contract term length (6, 12, 24, 36 months), and other contract terms like the cancellation fee policy.

Average Electricity Rates in Pennsylvania - Residential vs Commercial and Industrial

About Pennsylvania

Founded by William Penn as a home to the Quakers, Pennsylvania is now home to over 12.8 million people making it the 5th largest state in the U.S.

Rooted in U.S. history as one of the original 12 colonies, Pennsylvania is also a major tourist draw with Philadelphia serving as the nation’s first capital as well as home to the signing of the Declaration of Independence and the U.S. Constitution, Lincoln’s famous Gettysburg Address as well as the Liberty Bell. 

Pennsylvania’s second leading city, Pittsburgh, served as the epicenter of the U.S. manufacturing and steel industry for the better part of the 20th center – with its most famous export being the city’s professional football team, the Pittsburgh Steelers.

Pennsylvania Business Profile

Philadelphia PA Skyline

It is estimated that Pennsylvania is home to over 1 million small businesses in a wide variety of industries and categories. Small businesses in Pennsylvania make up 98.2% of the total businesses in the state with the remaining 1.8% being large or enterprise level companies.

As of the latest SBA data, Pennsylvania small businesses employed 2.5 million people in the state which represent 46.9% of the total employees in Pennsylvania. With a growing economy, the state of Pennsylvania’s unemployment rate dipped below 5% to 4.8% just slightly above the national average.

The leading industries for Small Business growth in Pennsylvania, Retail Trade, Accommodation and Food Service, and Manufacturing have remained consistent for the past 5 years.

How to switch electricity plans in Pennsylvania

In a competitive electricity market like Pennsylvania, both commercial and residential customers are provided with energy choice – meaning all customers get to choose their specific energy supplier, plan and rate, and then switch – based on any existing contract terms, renewal dates and fees. 

As a Pennsylvania electricity customer, it’s important to track your contract renewal date. When your energy plan is due to renew, it’s a good time to compare electricity rates and then switch to the best rate for your home or business. When switching energy plans, keep these 5 easy steps in mind: 

Step 1: Compare energy providers and energy prices online

This is the easy part and it starts online. Today, businesses have a variety of online websites and tools to research and compare energy providers, plans, and rates. The best way to compare providers is to use a simple website like EnergyBot. In less than 5 minutes, you can enter basic information about your business, like your zip code and monthly electricity bill, and then compare dozens of top energy suppliers in Pennsylvania to find the lowest energy rate.

Step 2: Take time to review the energy plan details

When you are comparing electricity plans, it will pay – literally – to take time to review the plan details, contract terms, and legal copy. Energy companies may entice you with a low rate, yet the fine print may reveal that it is a variable rate – which is only applicable if you stay in a specific range of energy (kWh) usage each month. It’s also important to review the contract term, cancellation fees, and out clauses before signing up for a new plan.

It’s important to do your research and if you’re short on time, EnergyBot makes it simple. Check out this article to learn more about the different types of energy plans and rates.

Step 3: Upload your most recent electricity bill

In many cases, the energy supplier, broker or website that you are using to find a new electricity plan will ask you to upload your most recent electricity bill. Although this may feel a bit intrusive, it provides pertinent account information and it’s important to securing the best energy rate available for your business. Your energy bill has your business information as well as the data that outlines your monthly energy usage. 

To add, your new energy supplier will require proof of your energy usage before you can switch and your electricity bill is the easiest way to meet the requirement.

Step 4: Request a custom electricity pricing quote

If you own or manage a larger business with high energy usage (and higher monthly bill), then it may be beneficial to request a custom pricing quote. As a larger business may have much higher monthly energy usage or inconsistent energy usage, energy suppliers require a comprehensive review of your business’ energy usage to provide a custom quote on a new plan and rate. At EnergyBot, you can get a custom quote for free. 

Step 5: Confirm the switch to a new energy provider

After authorizing a switch to a new energy provider, you will receive a confirmation email with the plan details and start date. It’s very important to review the plan you authorized and confirm the new start date. The transition to a new supplier will be seamless…you won’t even notice until you get the electricity bill the next month. 

Types of Energy Plans offered in Pennsylvania

Electric City Sign in Scranton Pennsylvania

Energy suppliers offer two different types of plans for residential and business customers: a fixed-rate plan or a variable-rate plan.

Each type of plan has its respective pros and cons. As a Pennsylvania customer, it’s important to understand the two types of plans before signing up for an electricity plan for your home or business.

Fixed-Rate Electricity Plans

The simple definition of a fixed-rate plan is that you are signing a contract with an energy supplier that offers a fixed-rate – meaning that the rate will remain constant for the term of the contract. Regardless of weather, natural events like a polar vortex, or market volatility, your rate will not change. In most cases, fixed-rate plans have a term length of 6, 12, 24, or 36 months.

Variable-Rate Electricity Plans

The simple definition of a variable-rate plan is that you are signing a contract with an energy supplier that offers a variable-rate – meaning that the rate may change on a monthly basis based on market factors. Variable-rate plans offer more flexibility but also present more volatility in pricing which may impact your monthly electricity bill.

It is important to audit your energy usage and then select the right plan – a fixed-rate plan or a variable-rate plan – before signing a contract with an energy supplier.

Pennsylvania Energy FAQs

EnergyBot is an online marketplace that helps businesses quickly and easily compare energy suppliers, plans, and rates in their area. With the simple goal to help businesses switch to the best energy for their business, EnergyBot cuts out the middleman – energy consultants and energy brokers, and enables businesses to switch online. EnergyBot also eliminates the fees and sales commissions that businesses may pay when using a traditional energy broker.

In Pennsylvania, energy brokers may advertise promotional rates and offer their services free of charge – which is not exactly the truth. Most energy brokers “bake in their commissions and fees” into the energy rate (per kWh) that businesses will pay – which means that a business may pay a higher rate than necessary when using a broker. EnergyBot rates are simple and transparent and published on our site every day for businesses to review and compare.

The goal of energy market deregulation was to create competition among energy suppliers so that they would be more efficient and ultimately offer lower, more competitive rates, to consumers. Unfortunately, most businesses and residential consumers have found that comparing energy plans is overly complicated and confusing.

EnergyBot makes energy simple. With a fast and transparent online experience, businesses can now compare plans and select an energy rate in just a few minutes. With basic information about your business and energy usage, EnergyBot will quickly compare current rates from top energy suppliers and provide a list of recommended plans for your business. Switching to a new energy plan is now as easy as booking a flight online.

EnergyBot makes it easy to switch energy providers. Simply visit our website, compare and select energy plans in your area, submit the necessary business information, and then upload your most recent energy bill. The EnergyBot team will seamlessly work with your new supplier to make the switch to the new energy plan. And the energy service to your business will continue without interruption.

You will pay your electricity bill directly to your local utility company. EnergyBot will never send you a bill.

Electricity Plans and Rates in Pennsylvania

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