PECO's 5% Electricty Bill Increase

"PECO Sees 5% Price Hike," reports the Bucks County (PA) Courier Times. Here are some highlights:

• Pennsylvania utility customers, for the past decade, have been protected by "rate caps" on what they're charged for be charged for electricity.
• Before electric deregulation reached PPL customers, last year, the utility's 30-percent rate hike prediction sent "thousands of Upper Bucks County residents scurrying to find a better deal"
• Now it's PECO's turn, but the market has changed to a competitive one. So instead of a 30-percent hike, the utility estimates a 5-percent jump, a smaller jolt to consumers that could result in fewer switches. 
• "I think consumer interest was greater in the PPL area last year because they knew they were facing a 30 percent rate increase," said Pennsylvania Consumer Advocate Sonny Popowsky.
• Still, according to the article, PECO spokeswoman Cathy Engel said about 20,000 of PECO's 1.6 million electric customers have gone to a new supplier so far - about 1.25 percent. By Christmas 2009, 8 percent of PPL's customer base had switched.  
• About 15 companies have rolled out plans targeting PECO customers. They include ConEdison Solutions, BlueStar Energy Solutions, Gateway Energy Services and Stream Energy.
• PECO confirms it will be the utility company that delivers the power to homes regardless of who generates it. "We're still the delivery company," she said. "We want people to make the choice that makes the most sense for their energy circumstance. But they'll still call us if there's a storm and their power goes out."
• Both Popowsky's Office of the Consumer Advocate and the Pennsylvania Public Utility Commission set up websites to help people compare rates offered by various utility companies. The sites also provide contact information for each power company. The state-run Office of the Consumer Advocate site is www.oca.state.pa.us. The PUC's site is www.papowerswitch.com. 

Bottom line: PPL customers had more motivation, but PECO customers may still save, if they shop wisely and understand that the choice does not risk what happens with emergency service. Most, I'd predict, will remain with PECO because of "fear, uncertainty and doubt." However the savvy shoppers are going to explore the options. I hope this blog helps take you to credible, objective places to inform your decision. Again as a disclaimer, I'm representing Stream Energy, so I'm not without bias. But whether you sign up with Stream (links in sidebar) or not, please keep yourself informed!