Understanding Your PECO Energy Bill in Pennsylvania

PECO Energy Company, an Exelon company, serves approximately 1.6 million electric customers in southeastern Pennsylvania, including the Philadelphia metropolitan area. As Pennsylvania's largest electric utility, understanding your PECO bill is essential for managing your energy costs.

Pennsylvania's Electric Choice Program

Pennsylvania deregulated its electricity market in 1996, giving customers the power to choose their electricity generation supplier. Your PECO bill reflects this structure:

Distribution (PECO)

PECO owns and maintains the electric infrastructure that delivers power to your home. These charges are regulated by the Pennsylvania Public Utility Commission (PUC) and include:

Customer Charge: A fixed monthly fee (~$8-10) for basic service
Distribution Charges: Variable charges based on kWh usage
Transmission Charges: Costs for high-voltage power delivery

Generation (Your Choice)

You can choose to:

Stay with PECO's Default Service: Rates set through competitive procurement
Shop for a competitive supplier: Compare offers at PAPowerSwitch.com

Breaking Down Your PECO Bill

Account Information Section

Account Number: Your unique identifier for all PECO communications
Service Address: Where electricity is delivered
Billing Period: Typically 28-32 days
Meter Number: Identifies your specific meter

Usage Summary

Previous Meter Reading: Starting point for billing period
Current Meter Reading: Ending point
kWh Used: Total consumption for the period
Daily Average: Helps compare months of different lengths

Charge Breakdown

#### Distribution Charges

| Charge | Description |

|--------|-------------|

| Customer Charge | Fixed monthly fee for service |

| Distribution Charge | Per-kWh delivery cost |

| Transition Charge | Legacy costs from deregulation |

| Transmission Charge | High-voltage grid costs |

| Universal Service Charge | Funds assistance programs |

#### Generation Charges

If you're on PECO Default Service:

Generation Charge: Cost of electricity itself
Price to Compare: The rate to beat when shopping

If you have a competitive supplier:

Supplier charges appear separately or on a separate bill

Taxes and Fees

State Tax: Pennsylvania gross receipts tax
Local Taxes: Varies by municipality
Nuclear Decommissioning: Funds for retiring nuclear plants

PECO Rate Schedules

Residential Service (Rate R)

The standard rate for most homes:

Single meter measuring total consumption
Tiered pricing may apply based on usage
No time differentiation

Residential Time-of-Use (Rate RD)

For customers with smart meters:

On-Peak: Higher rates during weekday afternoons (typically 2-6 PM)
Off-Peak: Lower rates during nights, weekends, and holidays
Best for customers who can shift usage to off-peak hours

Electric Heating Rates

Special rates for homes with electric heat:

Lower per-kWh rates for high-usage customers
May require separate metering for heating equipment

Understanding the Price to Compare

PECO's "Price to Compare" is the benchmark rate for shopping:

Current Price to Compare: Check PECO's website for the latest rate

This rate includes:

Generation charges
Transmission charges
Some default service costs

When comparing supplier offers, ensure you're comparing total costs, including any monthly fees the supplier may charge.

Shopping for Electricity in PECO Territory

Using PAPowerSwitch

Pennsylvania's official comparison site (papowerswitch.com) lists all licensed suppliers:

Enter your zip code: See suppliers serving your area
Compare offers: Look at price per kWh and contract terms
Check for fees: Monthly charges, early termination fees
Read reviews: Customer feedback on suppliers
Enroll online: Switch suppliers without contacting PECO

Types of Supplier Offers

Fixed-Rate Plans

Price stays the same for contract duration
Protection against market price increases
May miss out if market prices drop

Variable-Rate Plans

Price changes monthly based on market
No long-term commitment
Can be volatile, especially in extreme weather

Green Energy Plans

100% renewable energy certificates
Often slightly higher priced
Supports clean energy development

Introductory Offers

Low initial rates that increase after promo period
Read the fine print carefully
Set a reminder before the rate increases

Average Costs in PECO Territory

For a typical residential customer using 1,000 kWh/month:

| Component | Approximate Cost |

|-----------|-----------------|

| Customer Charge | $8-10 |

| Distribution | $40-50 |

| Transmission | $15-20 |

| Generation (Default) | $70-90 |

| Taxes & Fees | $10-15 |

| Total | $145-185 |

Philadelphia-area rates tend to be higher than the state average due to urban infrastructure costs.

PECO Smart Meter Benefits

PECO has deployed smart meters throughout its territory, enabling:

Detailed Usage Data

Hourly usage: See exactly when you use electricity
Daily patterns: Identify high-consumption periods
Comparison tools: See how you compare to similar homes

Time-of-Use Rates

With a smart meter, you can enroll in time-of-use rates and save by shifting usage to off-peak hours.

Faster Outage Detection

Smart meters automatically report outages, speeding up restoration.

Payment and Assistance Options

Payment Plans

Budget Billing (CAP Rate): Equal monthly payments based on annual usage
Payment Arrangements: Flexible plans for past-due balances
Auto-Pay: Automatic payments from bank account or card

Assistance Programs

LIHEAP (Low Income Home Energy Assistance Program)

Grants to help pay heating bills
Apply through local community action agency
Income-based eligibility

CAP (Customer Assistance Program)

Reduced rates for low-income customers
Based on percentage of household income
Includes arrearage forgiveness

CARES (Customer Assistance and Referral Evaluation Services)

Helps customers find appropriate assistance
Connects with community resources
Available to all PECO customers

Tips for Lowering Your PECO Bill

Shop for generation: Compare at PAPowerSwitch.com annually
Consider time-of-use rates: If you can shift usage to off-peak hours
Use PECO's online tools: Monitor usage and identify savings opportunities
Enroll in budget billing: Avoid seasonal bill spikes
Take advantage of rebates: PECO offers incentives for efficient appliances

Contacting PECO

Customer Service: 1-800-494-4000
Online Account: peco.com
Report Outages: 1-800-841-4141 or PECO app
Energy Efficiency Programs: peco.com/save

Understanding your PECO bill empowers you to make smart decisions about your electricity supply and take advantage of Pennsylvania's competitive energy market.