Allentown PA Electricity Rates.

Pennsylvania has a deregulated energy market, which gives consumers the freedom to choose their energy supplier. These suppliers differ from utilities, which are companies that distribute energy to your area and maintain powerlines. In Allentown, your utility is PPL Electric Utilities, and that won’t change as long as you stay in the area. Your supplier, however, is up to you and you can shop for lower PPL electric rates that will save you money.

If you’ve never set your own supplier, PPL has been charging a variable Price to Compare (PTC) supply rate. This cost is a price per kilowatt-hour (kWh), and it reflects the average cost of wholesale energy over two years. As an average, it may not be the lowest rate on the market, and it changes quarterly.

Pennsylvania energy rates also include gross receipt tax (GRT). Your GRT is included with your energy rate, and the current state value is 6.27%. Suppliers often quote rates without GRT included. When price comparing, always look at the rate with and without GRT. Regardless of your sales tax exemption status, GRT is a tax that all consumers must pay.

Your rate type will affect how much you pay every month. With a fixed-rate contract, you pay the same price every month, and if rates are low at the time of your agreement, it can be beneficial. In contrast, variable rates increase and decrease as the energy market changes. While you may pay high rates one month, you could pay an extremely low rate the next.

The Federal Energy Regulatory Commission (FERC) may request adjustments to your rate regardless of your agreement, though these changes are uncommon. To gain a better understanding of electric rates in Allentown, reach out to us at 800-225-3813.