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PPL will reduce some rates for its customers

Published November 23. 2011 05:01PM

PPL Electric Utilities has filed its generation rates and price to compare for the three months beginning Dec. 1 with the Pennsylvania Public Utility Commission. The new rates will be lower for residential and small-commercial customers on the utility's default supply service.

The updated rates reflect recent power supply costs and projected market costs for the next three months. They also reflect the reconciliation of collections from customers with the company's power supply costs so far this year.

The new price to compare for residential customers will be 7.769 cents per kilowatt-hour, down from 8.411 cents per kilowatt-hour currently.

This price applies to residential customers who have not chosen an alternative supplier and receive "default" supply service from PPL Electric.

The price to compare includes generation and transmission service, which make up 65 to 70 percent of the typical residential monthly bill.

It does not include distribution charges, which apply to all customers and cover the company's costs to deliver power and provide customer service.

For small-business customers, the default rate and price to compare will be 6.775 cents per kilowatt-hour, compared with 10.184 cents per kilowatt-hour currently.

A full list of PPL Electric Utilities' new rates for all rate classes can be found at

PPL Electric Utilities adjusts its generation rates and price to compare for shopping purposes every three months to reflect the cost of power purchases and adjustments based on customer use in the prior period.

The generation rate for large industrial customers is based on hourly market prices. The company's rates change March 1, June 1, Sept. 1 and Dec. 1 each year, similar to other utilities in Pennsylvania.

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