Pennsylvania Electric Bills Spike After December 1 Rate Hikes: How Much PECO, PPL and Other Utilities Now Charge

As Pennsylvanians switch on their furnaces for the first major cold snap of the season, millions are also waking up to higher electric bills.

Effective December 1, 2025, the Pennsylvania Public Utility Commission (PUC) approved new “Price to Compare” (PTC) supply rates for every PUC‑regulated electric utility in the state, with most residential customers seeing 3%–11% increases in the supply portion of their bill. ^[1]

The hikes arrive on top of already elevated prices driven by record‑high capacity costs in the PJM Interconnection power market, a surge in demand from data centers and electrification, and the retirement of older power plants. ^[2]

Here’s what changed on December 1, why it’s happening, and what you can do if you’re worried about paying your winter electric bill.

Where electric rates just went up – utility by utility

The new rates apply to the generation/supply portion of your bill — the cost of the actual electricity you use. Delivery (distribution) charges for poles, wires and infrastructure are not changing right now. ^[3]

According to PUC‑based summaries and local news outlets, here’s how the default supply rates (Price to Compare) changed for major utilities on December 1 (all figures in cents per kilowatt‑hour, ¢/kWh): ^[4]

Biggest increases

Duquesne Light (Pittsburgh & many western suburbs)
- Old rate: ~12.43 ¢/kWh
- New rate: 13.75 ¢/kWh
- Change: up 10.6%
- For a typical household, WESA estimates roughly $10 more per month just from this supply increase, with the exact amount depending on weather and usage. ^[5]
Pike County Light & Power (northeast PA)
- ~10.19 → 11.21 ¢/kWh
- Up about 9.9%. ^[6]
Met‑Ed (FirstEnergy – south‑central/eastern PA)
- ~11.91 → 12.97 ¢/kWh
- Up about 8.9%. ^[7]
Penelec (FirstEnergy – north‑central/western PA)
- ~11.00 → 11.75 ¢/kWh
- Up about 6.8%. ^[8]
Penn Power (FirstEnergy – western PA)
- ~11.86 → 12.61 ¢/kWh
- Up about 6.3%. ^[9]
West Penn Power (FirstEnergy – large parts of western & central PA)
- ~10.32 → 10.95 ¢/kWh
- Up about 6.1%, affecting roughly 725,000 customers in 24 counties. ^[10]

PECO, PPL and other large utilities

PECO (Philadelphia & suburbs)
- Old rate: ~10.4 ¢/kWh
- New rate: ~11.02 ¢/kWh
- Change: up about 6%. ^[11]
- 6abc notes that PECO’s change is entirely on the supply portion of the bill; distribution charges are unchanged. ^[12]
PPL Electric (Lehigh Valley, central & northeastern PA)
- Old rate: 12.49 ¢/kWh
- New rate: 12.953 ¢/kWh
- Change: up about 3.7%. ^[13]
FirstEnergy territories (Met‑Ed, Penelec, Penn Power, West Penn Power)
- PTC increases range roughly 6.5%–13.8% for many small‑business customers as well, according to PUC guidance. ^[14]

Areas seeing decreases

A few smaller utilities actually cut their supply rates:

Wellsboro Electric: down about 6% (12.81 → 12.04 ¢/kWh).
UGI Electric: down about 2.25% (11.47 → 11.21 ¢/kWh). ^[15]

For most Pennsylvanians, though, the December 1 reset means higher supply rates just as winter heating demand kicks in.

How much more will a typical household pay?

The PUC and multiple news outlets emphasize that supply charges usually make up 40%–60% of a typical electric bill, so the overall increase in your bill will be smaller than the percentage change in the supply rate, but still significant. ^[16]

Very roughly, for a home using 1,000 kWh per month on default service:

A Duquesne Light customer could pay about $13 more per month in supply charges, translating to around $8–$12 more on the total bill, depending on distribution costs and taxes. ^[17]
A West Penn Power customer might see supply costs rise by about $6–$7 per month at similar usage. ^[18]
PECO and PPL households may see $4–$7 per month added to the bill, again highly dependent on how much electricity is actually used and how efficient the home is. ^[19]

In western Pennsylvania, TribLIVE estimates that around 1.3 million customers across Duquesne Light and West Penn Power territories are affected by these winter rate hikes. ^[20]

Meanwhile, a Duquesne Light analysis projects that Pennsylvanians collectively face about $2.18 billion in additional electricity costs tied to recent PJM capacity price spikes. ^[21]

Why are Pennsylvania electricity prices rising again?

1. PJM capacity auctions blew up the “insurance” cost of power

Pennsylvania sits inside the PJM Interconnection, the regional grid operator that manages electricity for 13 states and D.C. PJM runs annual capacity auctions, which are essentially an insurance policy: generators get paid to guarantee they’ll be available when demand peaks in future years.

Those prices have exploded:

The 2025–2026 auction price jumped from about $29 to roughly $270 per megawatt‑day — an 833% increase over the previous year. ^[22]
The 2026–2027 auction cleared even higher, at about $329/MW‑day, another 22% jump and right at the cap negotiated with state governors, including Pennsylvania’s Josh Shapiro. ^[23]

Though capacity is only one line item inside the supply rate, analysts estimate those auction results are driving 10%–20% bill increases for typical Pennsylvania households and up to 29% for some commercial customers over the 2025–2026 period. ^[24]

2. Demand is surging — especially from data centers

After years of relatively flat electricity usage, PJM now expects record growth in both summer and winter peaks:

PJM’s 2025 Long‑Term Load Forecast projects summer peak demand growing by about 70,000 MW, from roughly 150,000 MW today to about 220,000 MW by 2040. ^[25]
Winter peaks are forecast to nearly catch up, hitting around 210,000 MW by 2039, driven in part by electric heating. ^[26]

PJM and state regulators single out several drivers:

Rapid expansion of large data centers and AI computing loads
Electrification of buildings and vehicles
Growth in industrial and manufacturing demand

A recent States Newsroom report notes that PJM is under pressure to design new rules so that data centers pay a fair share of the grid upgrades they trigger, rather than shifting costs onto ordinary ratepayers. ^[27]

3. Old power plants are retiring faster than new ones are built

At the same time, PJM warns that dispatchable thermal generators—mostly gas and coal units that can run on demand—are retiring quickly, and replacement resources aren’t coming online fast enough. ^[28]

To avoid capacity shortfalls and rolling blackouts, PJM is:

Overhauling its interconnection process to clear a backlog of new solar, storage and other projects
Pushing market rule changes meant to keep capacity prices high enough to entice new investment while preventing runaway spikes ^[29]

Those efforts may stabilize prices in later years, but in the near term they translate into higher wholesale costs, which are now appearing in December 1 retail rates.

What local coverage is saying: from Philly to York to Pittsburgh

The December 1 shift has generated intense coverage across Pennsylvania:

In the Philadelphia region, 6abc reports that PECO’s supply rate climbed about 6% to 11 ¢/kWh, while PPL’s default rate rose about 3.7% to nearly 13 ¢/kWh. The station notes that PECO is encouraging customers to shop for competitive suppliers and to contact the utility for payment assistance if they’re struggling. ^[30]
In York County and central PA, FOX43 highlights families bracing for higher winter electric bills as utilities including PPL and Met‑Ed raise rates heading into the coldest months. Their coverage stresses budgeting, thermostat adjustments and seeking out assistance programs. ^[31]
In Pittsburgh and western PA, the Pittsburgh Post‑Gazette’s business desk and TribLIVE both detail how Duquesne Light and West Penn Power are implementing sizeable supply hikes tied to wholesale generation costs. TribLIVE breaks down that Duquesne Light’s rate is climbing to 13.75 ¢/kWh (up 10.6%), while West Penn Power’s supply rate reaches 10.95 ¢/kWh (up 6.1%). ^[32]
Public radio outlet 90.5 WESA frames the story around what to do “if you can’t pay,” emphasizing that the new western PA rates could add about $10 a month for a typical Duquesne Light household and that the PUC is urging customers to reach out before they fall behind. ^[33]

Across these reports, one message is consistent: the earlier you act, the more options you have.

Supply vs. delivery: understanding your bill before you panic

One reason these changes feel confusing is that only part of the bill is moving.

Every electric bill has two main pieces: ^[34]

Generation/Supply charge
- What you’re paying per kWh for the electricity itself.
- If you don’t choose a competitive supplier, this is your utility’s Price to Compare (PTC).
- This is the part that increased on December 1.
Distribution/Delivery charge
- The cost of the poles, wires and local infrastructure that bring power to your home.
- Set through PUC rate cases and typically stable for years at a time.

The PTC is often 40%–60% of your total bill, so a 6% supply increase might translate into something like a 3%–4% total bill increase—still painful, but not double‑digit in most cases. ^[35]

What you can do if you’re worried about paying

State regulators are almost shouting one piece of advice: “Call your utility now.”

From the PUC press materials and local explainers: ^[36]

1. Ask about assistance and special payment programs

All major Pennsylvania utilities offer universal service programs funded through your rates, including:

Customer Assistance Programs (CAPs) – income‑based, discounted bills
Budget billing – spreads seasonal spikes out over 12 months
Hardship funds – one‑time grants for households in crisis
Weatherization programs – energy‑efficiency upgrades for eligible customers

If you can’t resolve an issue with your utility directly, the PUC’s Bureau of Consumer Services can step in to help mediate disputes and explain options. ^[37]

You may also qualify for federal LIHEAP grants or local nonprofit energy‑assistance funds; most utilities and county human‑services offices can point you toward applications.

2. Shop around — carefully — for a better supply rate

Because Pennsylvania is a deregulated electricity market, most customers can choose a competitive supplier instead of paying the default utility PTC.

The state’s PA Power Switch website lets you compare offers and filter for fixed‑rate plans, renewable energy, and contract length. ^[38]
Comparison engines that track PJM pricing and supplier offers show that in some territories, fixed‑rate plans are now very close to, or even below, the new PTCs, especially for PPL and West Penn Power customers. ^[39]

However, consumer advocates warn you to:

Avoid teaser rates that spike after a short introductory period
Watch for early‑termination fees and automatic renewals
Be cautious with variable‑rate plans, which can jump unexpectedly in volatile markets ^[40]

If a deal looks dramatically cheaper than everyone else, read the fine print twice.

3. Attack waste on the usage side

Even if you can’t change your rate easily, you can still cut costs by using less power, especially during winter peaks.

Energy‑efficiency guidance from the U.S. Department of Energy and PJM‑area utilities highlights quick wins like: ^[41]

Sealing drafts around doors, windows and attic hatches
Swapping incandescent or old CFL bulbs for LEDs
Lowering your thermostat a couple of degrees and using programmable or smart thermostats
Servicing your furnace and replacing dirty filters
Unplugging “vampire” electronics when not in use

For households with electric heat, even small thermostat changes can shave noticeable dollars off winter bills.

How we got here: 2025’s one‑two punch of June and December hikes

It’s worth remembering that these December 1 changes are not happening in a vacuum.

On June 1, 2025, many Pennsylvania utilities — including PECO, PPL and Duquesne Light — already implemented significant rate hikes tied to the same PJM capacity costs, with residential bills rising 10%–20% in many areas and some business customers seeing increases nearing 30%. ^[42]
The December 1, 2025 reset layers winter‑season adjustments on top of those already‑higher baselines, creating what many families experience as a second hit in the same year. ^[43]

That helps explain why social media threads, talk‑radio callers and online comment sections are full of words like “insane” and “unaffordable,” and why some national outlets have framed the step‑up in Pennsylvania’s power prices as part of a broader story of Americans angry about rising utility costs. ^[44]

What comes next: 2026–2028 outlook

Unfortunately, December’s increases may not be the last.

PJM’s 2026–2027 capacity year will begin on June 1, 2026, and grid‑monitoring sites expect that to bring another 1%–5% increase in customer bills as the newest auction prices filter through utilities’ procurement auctions. ^[45]
PJM and a coalition of governors, led by Governor Shapiro, negotiated a price collar intended to prevent future capacity auctions from completely spiraling. Analysts estimate that the interventions could save consumers tens of billions of dollars region‑wide compared with an unconstrained market — but they won’t bring prices back to pre‑2025 levels. ^[46]
In Harrisburg, lawmakers are debating how to protect ratepayers from the cost of accelerating data‑center build‑outs while still courting tech investment and supporting in‑state generation — including new nuclear and gas projects — to shore up reliability. ^[47]

For households, the practical takeaway is sobering but clear: elevated electric prices are likely to stick around for several years, even if the worst spikes are capped.

Bottom line for December 2, 2025

As of today:

Most Pennsylvania electric customers on default service are paying higher supply rates than they were in November.
The typical household will see single‑digit percentage increases in total electric bills, with steeper jumps in areas served by Duquesne Light, Met‑Ed and some FirstEnergy territories.
The main culprits are soaring PJM capacity prices, surging demand (especially from data centers and electrification) and lagging new generation, not simply “greedy utilities.”
You still have options: payment assistance, budget billing, rate shopping and efficiency upgrades can blunt the impact if you act early.