Uncover the Truth Pennsylvania Hides about Your Electricity Suppliers
Power to Choose

Uncover the Truth Pennsylvania Hides about Your Electricity Suppliers

24 Aug 20225 mins to read

People use the words electric choice when they talk about energy deregulation. Energy deregulation is the process of integrating competition in the wholesale energy market and allowing Pennsylvania electricity suppliers to buy electricity at low prices and tailor specific plans. As a result, homeowners and business owners can choose electricity providers or personal electric plans and adjust them according to their needs. Energy deregulation prevents monopoly and improves competition, benefiting the end consumer who receives the best Pennsylvania electricity rates and uses his power of choice.

Do You Know These Facts about Energy Choice in the USA?

  • From the start, the energy industry was fully regulated, and in 1932 around 8 companies owned 73% of electricity in the US.
  • In 1935, Congress passed the PUHCA (Public Utility Holding Company Act) to stop the increased monopoly and initiate regulated protocols in the energy market.
  • When the energy crisis hit in 1970 and the oil embargo in 1973 changed the lives of Americans, the USA built power plants that relied on its natural resources - coal and uranium. The exorbitant prices for their construction were passed to consumers who saw shocking electric prices on their bills. They couldn’t even dream about having an electric choice and switching their electricity supplier.
  • With the implementation of the Energy Policy Act in 1992, the energy wholesale market started to be competitive, and the first deregulation policies would emerge for the public.
  • In 2022, 26 states deregulated their energy or gas market, and thousands of consumers used their energy choice to get lower prices on their monthly bills.

Deregulation was the first form of managing electricity from the time the first power plant was built in America. The lesson is obvious - consumers should have the power to choose their electricity provider.

Does Pennsylvania Electric Rates Comparison Work for Everyone?

Pennsylvania was one of the first American states that took significant steps toward deregulation as early as 1994. The public utilities were in charge of generating, transmitting, distributing, and billing consumers for their energy consumption, monopolizing the whole sector - and the same was happening all over the country. In 1996, Pennsylvania passed the Electricity Generation Customer Choice and Competition Act, allowing people to choose and switch to a new energy provider.

The state registered remarkable results. Until 1996, the energy rate was 15% higher than the national average. By 2001, Pennsylvania had a 4.4% decrease in energy rates, and consumers had already saved $3 billion. Pennsylvania is a perfect example of how electric choice impacts the energy system. It allows people to use their power of choice to save money and energy by switching their electricity suppliers while reducing their carbon footprint.

The Average Pennsylvania Electric Rates in 2022

According to the U.S. Energy Information Administration, the energy rates in Pennsylvania in 2022 are the following:

Residential:            14.93 cents/kWh

Commercial:         10.14 cents/kWh


The natural energy sources of utility energy generation:

Petroleum-Fired:       0.0%

Natural Gas-Fired:   52.9%

Coal-Fired:                 10.0%

Nuclear:                      32.1%

Renewables:                4.8%


The energy sources for home heating:

Natural Gas:     51.5%         

Fuel Oil:            15.5%                     

Electricity:        23.9%         

Propane:             4.6%         

Other/None:        4.5%

Energy facts about Pennsylvania:

  • Pennsylvania ranks third as the leading energy provider to other states in the USA, primarily using natural gas from the Marcellus Shale.
  • Pennsylvania has 49 underground gas storage facilities, making it the fourth biggest gas deposit power.
  • The number of nuclear reactors and power plants makes Pennsylvania the second nuclear energy producer after Ohio. It saves people %788 million every year in energy costs and helps reduce 37 million tons of CO2 emissions.
  • Pennsylvania estimates to create around 243,000 clean-energy jobs each year and have an impact on preventing climate change by reducing the state's carbon footprint.

How Does Electricity Come to Your House in Pennsylvania?

Until you get electricity at home, it follows the following path:

1) Generation - most electricity in the country is generated by coal, natural gas, nuclear energy, coal, and renewable energy. 

2) Transmission - once the electricity is generated, it is transmitted from the power plants through high-voltage lines to the local distribution network.

3) Distribution - at this point, the electricity is distributed through low-voltage lines to your home.

4) Consumption - you use the electricity and pay the bill to your utility or chosen Pennsylvania electricity suppliers.

What is the Role of Pennsylvania Electric Suppliers?

In the past, utilities were publicly owned and were a one-stop shop for everything energy-related, starting with electricity generation, distribution, billing, solving disputes, and much more. Consumers in Pennsylvania had no choice in switching their electricity suppliers. Once deregulation came into the country, the whole system changed.

Today, a provider buys electricity and gas from generators and sells them to consumers at a better price. Even more, in Pennsylvania, electricity suppliers create competition and can tailor different plans with better electric rates for consumers. This way, your electricity is still transmitted and distributed by the local utility, but the actual supply comes from your chosen energy provider. This is why, in Pennsylvania, your electric choice is important.


What Are the Benefits Pennsylvania Hides About Your Energy Choice?

  • You can save energy. Deregulation saved consumers in Pennsylvania $800 million by the end of 2016, and the numbers have constantly increased. While utilities provide nonnegotiable rates, switching electricity suppliers will allow you to choose a better deal with customized terms, such as price, early cancelation fees, plan length, renewable energy sources, and others. It means you will get the best Pennsylvania electric rates by using your power of choice.
  • You don't experience service interruption. When you switch your Pennsylvania energy supplier, it will make the necessary changes for you by contacting the local utility to make the switch. This way, you won't undergo any connection problems and can continue using electricity for your home.
  • You can opt for a renewable energy source. Multiple Pennsylvania electricity suppliers offer plans with rates based on renewable energy resources. By choosing green energy, you can contribute to reducing your carbon footprint and be a part of the USA’s net-zero policy.
  • You get better service. Electricity suppliers will deliver valuable services to their customers to survive the competition. You get fast assistance, lower Pennsylvania electricity rates, and better 24/7 customer support than your utility offers.
  • You have the power to choose. Forget about monopoly prices and unfairness - today, you are the one who decides which electric rates are best for your home and business. You can choose the most suitable electricity suppliers on the market and make the Pennsylvania power of choice work for you!

What Types of Plans Can You Get in Pennsylvania?

  • Fixed-rate plans. The plan will have a fixed price that won't change during the contract's time. If an energy crisis strikes the country and prices skyrocket, your home will be secure with fixed electric rates.
  • Variable plans. These contracts are flexible because the energy rates will follow the price changes in the wholesale energy market. On the one hand, if prices rise, your bill is higher. But on the other hand, in Pennsylvania, you will get lower electric bills and electric rates when prices go down.
  • No-deposit and prepaid energy plans. Usually, electricity suppliers will check your credit score and ask for a deposit before starting a plan. With no-deposit contracts, you avoid credit checks and can choose your electric supplier in PA with the prepaid option.
  • Green energy plan. As discussed above, several Pennsylvania electricity suppliers will have renewable electric plans. It’s important to make a green choice and reduce your carbon footprint.
  • Business plans. In today's energy crises, securing just your home in Pennsylvania with tailored electric rates is not enough. That's why electricity suppliers have reliable business energy plans, and you get to save money and electricity on your company's bills. 

How to Switch Your Pennsylvania Electric Supplier?

Switching your energy supplier is a piece of cake. The process is even faster and straightforward with Energy5.

  1. Access Energy5 and compare suppliers and prices in your area.
  2. Review the plan details and select the one that suits you best.
  3. Upload recent bills to show your supplier your average monthly electricity usage.
  4. Request a customized price and electric rates for your house/ business.
  5. Recheck the contracts' clauses, make a choice, and confirm the switch.
  6. Your new Pennsylvania electric supplier will contact your local utility and make all the necessary changes.
  7. You are all set for now!

Why Is Your Energy Choice Important?

After so many unexpected global events, such as Covid, the energy crisis, and constantly rising inflation, it's time to secure your home and business in Pennsylvania and get fixed energy rates by using your power of electric choice. Although you may feel unaffected today, things are progressing quickly.

Forget about the anxiety you constantly get before opening your monthly energy bill. Forget about rising wholesale energy prices and overcharges. Today you can actually make the energy choice work for you and take matters into your hands. That's why Energy5 can select the best electricity suppliers in Pennsylvania, tailor an electric rates comparison, and develop solutions to survive the rising prices.

The Energy5 tool can be a turning point for making crucial energy and gas savings decisions for your home and your business. You are the one who can take the necessary steps to reduce your carbon footprint. Choose Pennsylvania electricity suppliers that can present a plan with fixed electricity rates to overcome the energy crisis and save money on your bill.

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