Its very difficult to determine the exact amount an electric bill will increase on June 1, 2023. That is because of the differences between the Residential Rate vs the Commercial rate. The average rate I am hearing for Pennsylvania Utilities is around 45% and the breakdown is around 25% for Residential Bills and 45% for Commercial Bills. This breaks down to around 2.0 cents per kWh for residential and 4.2 cents per kWh for Commercial.
The following chart is from a newspaper in Philadelphia in the last two weeks, around April 15, 2023.
Duquesne Light has posted in the localnewspaper around Pittsburgh that their rates would increase 44% with the breakdown as indicated above, 2 cents per kWh for Residential bills and 3.5 cents for Commercial bills.
These increases don’t sound like much, however; with the summer approaching and the air condition season at hand, a typical residence could increase 750 kWh – 1000 kWh on top of their average 850 kWh bill without heat or AC.
When you look at a 5.5 cents per kWh (existing) and add 750 kWh on top of 850 kWh bringing the total for the month to 1600 kWh, the energy on the bill is .055 x 1600 = $88. But with the increase of 2 cents per kWh ( the increase proposed) that is 7.5 cents per kWh bringing the bill now to .075 x 1600 = $120. That is a difference of $32.00 increase to your bill. A typical average for all the above Electric Utilities.
Use the chart above with the Utility serving you and calculate the amount of increase to your bill.
You can do three (3) things knowing this:
- Ignor the increase and continuing paying the Utility and adding to its profit margin.
- Check the Pennsylvania Utility Commisions website to see if they offer any Energy Companies rates of choice.
- Check my website www.lenzenergy.net for lower rates
It should be noted that electric rates are very volatile at this time. For instance, the major electric utilities indiciated that an increase would be noted by May 3, 2023 and sure enough several energy providers which I have been following had rates of 6.59 cents for three weeks and as as of today May 3, 2023 they increased the rates to 7.1 cents. You can never tell when these rates will go up again; however, it appears they follow the local electric utility with their rates.
Ok, enough being said, take heed in your electric bill!
The lenzenergy website will show the different energy companies in your area and the rates availiable!