by Residents across Pennsylvania should brace for higher electricity bills this summer. PPL Electric Utilities, headquartered in Allentown, has announced a 15% increase in its generation supply rate, effective June 1, 2025.
The “Price to Compare”—a key rate used to measure electric supply costs—will rise from 10.771¢ to 12.490¢ per kilowatt-hour (kWh) for residential customers. For households that use around 1,000 kWh monthly, this change could add approximately $22 to $28 to their electric bill, depending on usage.
Why the Rate Increase?
According to Christine Martin, President of PPL Electric, the rate hike stems from surging prices in the PJM Interconnection’s capacity auction, which took place in June 2024. PJM, the regional grid operator, recorded a staggering 833% increase in capacity pricing, significantly affecting electricity costs across the Mid-Atlantic.
As a result, many utility companies in Pennsylvania—including PPL—are passing these costs directly onto consumers. It’s important to note that PPL does not profit from electricity supply rates, as these are passed through without markup.
What Can You Do?
PPL Electric urges customers to explore bill assistance programs and consider shopping for alternative electricity suppliers. Competitive providers may offer lower generation rates, potentially offsetting the price increase. You can compare energy supplier options through the Pennsylvania Public Utility Commission’s website.
In addition, ElectricityRates.com reports that PPL remains committed to reliable service and is actively advocating for long-term energy policy reform to help stabilize electricity prices in the future.
