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Since Pennsylvania electric deregulation began in 1996, businesses have the power to choose their specific electricity provider or to continue to purchase from their utility company. For businesses of all sizes in Scranton, the deregulated market allows business owners to compare energy plans from top energy suppliers and shop for the lowest electricity rate.
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.
Utilities are the entities in charge of the operation and maintenance of the energy infrastructure, like wires and towers. The local electric utility in Scranton is PPL Electric Utilities. the utility company responsible for transporting electricity from the generators to residential homes and businesses in Scranton.
Energy providers in Scranton, like Direct Energy, Entrust, and Marathon Energy, 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.
Scranton is located in the northeastern part of Pennsylvania with a population of 77,291.
Incorporated in 1866, Scranton was named after brothers Seldon and George Scranton who produced T-rails for the railroads, helping form Scranton into a significant industrial area.
Known as the “Electric City,” Scranton developed the country’s first working electric streetcar system.
It is estimated that Pennsylvania is home to 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 SUSB census, Pennsylvania small businesses employed over 2 million people in the state representing 47% of the total employees in Pennsylvania.
Top Small Business Industries in Pennsylvania
Pennsylvania is the 3rd highest electricity-generating state in the nation, behind only Texas and Florida. Commercial energy consumption makes up 17.1% of all energy consumption in the state.
Electricity for Scranton business and residential users is generated across the regional electricity grid, and several entities are collectively responsible for providing electricity: