If you live in Pennsylvania and haven’t been paying attention to your utility bills lately, December 1st might come as an unwelcome surprise. Every single electric utility regulated by the Pennsylvania Public Utility Commission is adjusting their rates on that date, and for most households, that means one thing: higher bills.
It’s not a small tweak either. Depending on where you live and who supplies your power, you could be looking at increases anywhere from 4% to nearly 9% on your generation charges—the part of your bill that covers the actual electricity you use. And here’s the kicker: this comes right as winter heating season kicks into high gear, when electricity usage can account for more than half of a typical customer’s monthly bill.
Why Your Electric Bill Is Jumping Right Now
So what’s driving these increases? The answer isn’t as simple as greedy utility companies padding their profits. The reality is more complicated and has everything to do with supply and demand in the regional energy market. Pennsylvania’s electricity grid is managed by an organization called PJM Interconnection, which coordinates power across 13 states. When PJM held its capacity auction in 2024—essentially a market where utilities secure future electricity supply—the results shocked everyone. Prices came in more than 800% higher than the previous year.
Why such a massive spike? Blame it on modern life. AI data centers are consuming large amounts of power, and homes today are packed with more devices and appliances than ever before. Add to that the retirement of older power plants and the costs of maintaining a reliable grid during extreme weather events, and you’ve got a perfect storm of rising demand meeting limited supply.
Those wholesale costs get passed directly to consumers through what’s called the “generation supply charge”—typically 40% to 60% of your total electric bill. Let’s talk specifics. PPL Electric customers will see residential rates climb from 12.49 cents per kilowatt-hour to 12.953 cents, a jump of nearly 4%. For someone using 1,000 kilowatt-hours monthly, that’s about $4.63 more per month. Met-Ed customers are facing a steeper increase—from 11.903 cents to 12.965 cents per kilowatt-hour, which works out to just under 9%.
That means the average Met-Ed customer will pay about $10.62 more each month. PECO customers, serving the Philadelphia area, will see rates rise 6%—from 10.40 cents to 11.024 cents per kilowatt-hour. Small businesses are getting hit even harder, with some facing increases exceeding 13%.
What You Can Actually Do About It
Pennsylvania has a deregulated energy market, which means you’re not stuck with your utility’s default rate. Most residents can shop around for competitive electricity suppliers who might offer better prices or renewable energy options. The state runs PAPowerSwitch.com, a website where you can compare rates from different suppliers against your utility’s Price to Compare. Some customers are saving real money by switching—it’s worth spending 15 minutes to check.
If money is tight, don’t wait until you’re drowning in bills to ask for help. The Pennsylvania Public Utility Commission is urging struggling customers to call their utilities right now to discuss assistance programs. Many utilities offer Customer Assistance Programs, budget billing options, and hardship funds that can reduce monthly costs. There’s no shame in asking, as these programs exist specifically for situations like this.
