Peco Deregulation

May 24, 2010

As reported by Electricitywatchdog.org

Lower My PECO BillMay 10, 2010

PECO is trying to prepare their customers for increases in their electric rates in 2011 by unleashing multiple programs.  Recently, the PA Public Utilities Commission announced that Pennsylvania utility companies will be increasing the rates for electricity delivery service in 2011.  In addition, price caps will be expiring in 2011 in the PECO area – as well as Met-Ed, Penn Electric, and West Penn – which are expected to increase default generation rates by as much as 20%.

PECO is rolling out numerous programs to help customers cope with increases including the PECO Smart Home E-Audit, Smart Lighting Discounts, Smart Home Rebates, and Smart Appliance Recycling.  Alot of smart programs, but probably the smartest way consumers will be able to reduce their electricity bill is by shopping for an alternative supplier that will offer a reduced rate versus the PECO price to compare default rates. 

PECO will continue to deliver power to those customers who they are currently delivering to as well as continue to send invoices out.    The decision to choose an alternative electric genaration company will simply be a choice to pay less.  We will be providing contact information and rates for alternative providers as we get closer to 2011.

Our Perspective:

The caps will be lifted on electric prices in Peco territory as of Jan 2011. This will present many opportunities for savings for larger users in the dergulated energy market.

Currently, clients in the PPL terrirory are finding savings of about 2 cents per kwh. We are finding the price to compare in PPL territory to be about $.105 cents per kwh. Depending on their annual usages, we have been able to find opportunities to lock the electric supply prices in the low to mid $.08 cent per kwh area.

We are currently speaking with several clients in the Peco territory and have told them to wait for Peco to release their price to compare for 2011. This will help us to use this as a basis of the opportunity presented.  Sources have told us that this information will be available by the end of May or early June 2010.

Should you like to know more about opportunities for savings in the Peco electric deregulation market email george@hbsadvantage.com

Or visit us in the web www.hutchinsonbusinesssolutions.com