PECO Electricity Rates: What You're Actually Paying

A homeowner in West Philadelphia opens her electric bill, scans the total, and pays it without a second thought. What she doesn't notice is that her bill is split into two very different kinds of charges: delivery and supply. Delivery is what PECO earns for maintaining the poles, wires, and meters that physically move electricity to her home. Supply is the cost of the electricity itself, and that part she can shop.

For most PECO customers on default service, the supply portion of the bill is calculated at the utility's standard rate, roughly 11.8 cents per kWh as of July 2026. That number, called the Price to Compare, is the benchmark that tells you whether a competing offer is actually worth taking. If a licensed supplier quotes you something below it, you save money on the supply piece of your bill. If a supplier quotes you something above it, you're paying a premium for no obvious reason.

The Price to Compare (PTC) is the figure the Pennsylvania Public Utility Commission (PA PUC) requires PECO to publish on every bill and on its website. It represents the all-in cost of PECO's default generation supply, expressed in cents per kWh, and it changes periodically as PECO procures power through competitive auctions.

When you shop for a third-party supplier, the PTC is your reference point. A supplier offering 9.8 cents per kWh on a fixed-rate contract is cheaper than PECO's current default of 11.8 cents, assuming no additional fees. A supplier offering 12 cents is more expensive. The math is straightforward, but the important detail is to compare apples to apples: confirm whether the supplier's quoted rate includes all generation-related charges, and ask whether the rate is fixed or variable.

Your current PTC always appears on your PECO bill, usually labeled clearly in the supply section. You can also find it at any time on PECO's website or by checking PAPowerSwitch.com, the PA PUC's official comparison tool.

Pennsylvania has six investor-owned electric utilities, each with its own default supply rate. As of July 2026, those rates look like this:

Duquesne Light (Pittsburgh area): ~14.1 cents/kWh
Met-Ed (central and eastern PA): ~13.0 cents/kWh
PPL Electric (central PA): ~13.0 cents/kWh
PECO (Philadelphia and suburbs): ~11.8 cents/kWh
Penelec (northwest and north-central PA): ~11.7 cents/kWh
West Penn Power (western PA): ~10.9 cents/kWh

PECO's rate lands in the middle of the pack statewide. Customers in Duquesne Light's territory face the highest default supply costs and therefore have the most to gain from shopping. PECO customers have a more modest gap to close, but with the lowest competitive supplier rate in the state sitting around 9.6 cents per kWh in some territories, the opportunity is still real.

For a household using 900 kWh per month, dropping from 11.8 cents to 9.6 cents on the supply portion alone represents meaningful savings over a year. The exact figures depend on your usage and which supplier offers that rate in your zip code, so always verify current offers at ElectricRates.org's Pennsylvania page before signing anything.

When you shop suppliers through PAPowerSwitch or another broker, you'll encounter two main rate structures.

Fixed-rate contracts lock your supply price for a set term, typically 6, 12, or 24 months. Your rate doesn't change when wholesale energy markets spike. If you sign a 12-month fixed deal at 9.8 cents and the PECO default rises later in the year, you keep paying 9.8 cents. The risk cuts the other way, too: if default rates fall significantly, you're stuck paying your contracted price until the term ends.

Variable-rate contracts float month to month based on market conditions and the supplier's own pricing decisions. Some variable contracts start below the PTC as a teaser, then drift higher. Pennsylvania law gives you the right to cancel a variable-rate contract with proper notice, but you need to watch your bills to catch when a rate has climbed above the PTC.

For most residential customers who want predictability, a fixed-rate contract is the simpler choice. Just confirm the contract length, any early termination fees, and whether the rate is truly all-in or subject to additional charges.

The PA PUC's shopping tool, PAPowerSwitch.com, is the cleanest starting point. Enter your zip code and PECO account type, and the site displays offers from licensed competitive suppliers side by side. Every supplier listed there is licensed by the PA PUC, which provides a basic layer of consumer protection.

A few things to check before enrolling with any supplier:

1. Rate type. Is it fixed or variable? For how long?
2. All-in vs. partial. Does the quoted rate cover all generation charges, or will other supply fees show up on your bill separately?
3. Early termination fee. Some contracts charge $50 or more if you leave before the term ends.
4. Auto-renewal terms. Some suppliers roll you onto a variable rate when your fixed term expires. Set a calendar reminder a month before your contract ends.
5. Company history. Stick with suppliers who have a track record in Pennsylvania. The PA PUC's supplier list shows which companies are currently licensed.

You can also compare offers at ElectricRates.org's Pennsylvania page, which pulls live rates and lets you filter by contract length and rate type.

Switching to a competitive supplier in PECO territory is handled through enrollment, not a physical change to your service. PECO continues to deliver power, maintain your lines, respond to outages, and send your bill. The only thing that changes is which entity is credited for supplying the electricity and at what rate.

Once you enroll with a new supplier, the switch typically takes effect within one to two billing cycles. You won't lose power during the transition, and you don't need to call PECO to initiate it. Your new supplier handles the enrollment notification to PECO directly.

If you want to switch back to PECO's default service at any point, you can do that too. PECO is required to take you back. Just be aware of any early termination fees your current supplier may charge before you make the move.

For customers who struggle to pay their electric bills, Pennsylvania offers two significant programs worth knowing about.

LIHEAP (Low Income Home Energy Assistance Program) is a federally funded program administered in Pennsylvania by the Department of Human Services. It provides grants to help eligible households pay heating and cooling costs, including electric bills. Eligibility is income-based. The PA DHS website has current income thresholds and application information.

CAP (Customer Assistance Program) is PECO's own bill-reduction program for income-qualified customers. Participants pay a reduced monthly amount based on their income and usage, and the unpaid portion may be forgiven over time. PECO's customer service and the PA PUC can both provide details on how to apply.

If you're shopping for a competitive supplier and also enrolled in CAP, talk to PECO first. Switching suppliers can affect how your CAP benefit is calculated, so it's worth understanding the interaction before you enroll with a third party.

Shopping suppliers only affects the supply portion of your PECO bill. Delivery charges, which include distribution, transmission, and various riders, are set by the PA PUC through a rate case process and apply to every PECO customer regardless of which supplier they use.

This matters because delivery charges are a substantial portion of your total bill. When you see a supplier advertising a rate far below the PECO PTC, the savings apply only to the supply line items, not to delivery. Always look at your full bill before judging whether a supplier offer is a good deal for your situation.

If you're trying to reduce your total electric costs beyond just supply, the most effective tools are energy efficiency upgrades, time-of-use awareness, and any rebate programs PECO or the PA PUC currently offers. For current rate and program information, the PA PUC's website and ElectricRates.org are the best places to start.

PECO's default supply rate of approximately 11.8 cents per kWh as of July 2026 is neither the highest nor the lowest in Pennsylvania. It's a livable rate, but it's not the best available. Competitive suppliers in PECO territory are currently offering rates as low as 9.6 cents per kWh in some areas, and a fixed-rate contract at that level can lock in savings for a year or more.

The process is low-risk. PECO continues to deliver your power. Your lights don't flicker. If the deal turns out to be less compelling than expected, you can return to default service.

Start with your current PECO bill, find the Price to Compare, and use PAPowerSwitch or ElectricRates.org's Pennsylvania rate comparison to see what suppliers are offering right now. The difference between doing nothing and spending ten minutes shopping is often real money every month.