Markets · Analysis
I.How PECO sets the Price to Compare
PECO does not generate most of the power it sells you. For customers on default service, it buys that electricity in advance through purchasing plans the Pennsylvania Public Utility Commission has to approve, and it passes the cost through to you with no markup on the supply itself. The rate you see is the blended result of those purchases, and the PUC filings that set the rules sit in a public docket anyone can read.
The Price to Compare for a typical residential customer generally adjusts about every three months, which is why a rate that looked good in the spring can look different by winter. If you want the current number without digging, it is on the supply section of your bill, on PECO's default service page, and on PAPowerSwitch, the shopping marketplace the PUC runs. When those three disagree, the bill and the PUC filing are the ones to trust.
II.What a renewable plan actually buys
Click into a plan on PAPowerSwitch that advertises renewable content and you are usually buying renewable energy certificates (tradable proof that one unit of electricity, somewhere on the grid, came from a renewable source like wind or solar). A plan marketed as "100% renewable" typically means the supplier commits to buying enough of these certificates to match the electricity you use, not that cleaner electrons travel to your rowhouse. The power on your block is still whatever PJM, the regional grid operator, happens to dispatch at that moment.
Certificates are not all the same, and the plan's terms will tell you which kind back the offer. Some are national wind credits bought cheaply from far away; some are Pennsylvania solar credits that count toward the state's Alternative Energy Portfolio Standard (the law requiring a slice of the state's power to come from renewable and alternative sources). Neither is a scam, but they buy different things, and a reader who cares about Pennsylvania solar specifically should read past the word "green" to see what is actually inside.
III.Doing the honest math before you switch
Start by writing down two numbers: the Price to Compare on your current bill and the plan rate on PAPowerSwitch, both in cents per kilowatt-hour. Then read the fine print for the things that move the real cost, which the headline rate hides. Is the rate fixed or variable, how many months does a fixed rate last, is there a monthly fee, and is there an early termination fee if you leave. A low teaser rate that flips to a variable rate after a few months has burned Philadelphia shoppers before.
The premium for renewable content is often small, sometimes a fraction of a cent per kilowatt-hour, sometimes more, and whether it is worth it is a judgment only you can make once you know what the certificates are. If a renewable plan beats the Price to Compare outright, the decision is easy. If it costs a little more, you are choosing to pay for certificates on purpose, which is a fine thing to do as long as you know that is the trade.
IV.Worth watching this month
1. PECO's next quarterly Price to Compare adjustment, which generally lands near the start of a calendar quarter, is routine but worth a quick look at your bill around then.
2. The Pennsylvania PUC docket for PECO's default service program, where the purchasing rules are set, matters more over time than any single quarter's rate.
3. The fixed-rate term and its end date on any PAPowerSwitch offer you like are the details to screenshot before you enroll, since listings change constantly.
4. Any supplier plan rolling off a fixed introductory rate onto a variable one, a common event that can quietly raise what you pay.
5. Pennsylvania's Alternative Energy Portfolio Standard compliance, reported through the PUC, which shows how much renewable content the state actually required that year.
Frequently asked questions
- If I switch suppliers, does that change who fixes an outage?
- No. PECO still owns the wires, reads your meter, and restores power no matter whose supply you buy. Only the supply portion of your bill changes.
- Is the electricity on my block really cleaner if I pick a renewable plan?
- Not physically. The grid delivers whatever PJM dispatches at that moment. A renewable plan means the supplier buys certificates to match your usage, which supports renewable generation somewhere on the grid, not on your street.
- Where is the Price to Compare on my bill?
- It is in the supply section, usually labeled plainly with a per-kilowatt-hour rate. PECO also posts it on its default service page and on PAPowerSwitch.
- Can I go back to PECO default service if a plan turns out badly?
- Yes. You can return to PECO's default service at any time. Check your supplier contract first for any early termination fee before you leave.
Sources on the bench
Pennsylvania PUC, electric shopping and default service (government) The state regulator's own explanation of default service and how supplier shopping works in Pennsylvania. · www.puc.pa.gov/consumer-info/electricity
PAPowerSwitch, the PUC's official shopping marketplace The state-run site that lists PECO's Price to Compare alongside third party supplier offers, including renewable plans. · www.papowerswitch.com
PECO default service and Price to Compare The utility's own page for the current Price to Compare and how its default supply is priced. · www.peco.com
PJM Interconnection, regional grid operator The operator that dispatches the regional grid serving Philadelphia, useful for understanding what actually powers your area. · www.pjm.com
Pennsylvania PUC, Alternative Energy Portfolio Standard (government) The state program behind renewable energy certificates and how much renewable content Pennsylvania requires. · www.puc.pa.gov/filing-resources/issues-laws-regulations/alternative-energy-portfolio-standards-act