Philadelphia households pay 11.024 cents per kilowatt-hour for default electricity supply. Pittsburgh households pay 13.75 cents. That is a 25% difference between Pennsylvania's two largest cities, served by two different utilities, drawing from the same regional grid.
The gap is not random. It reflects how each utility purchases wholesale power, how capacity costs flow through different service territories, and how competitive supplier markets have developed in each region.
The rate gap by the numbers
Both cities operate under Pennsylvania's deregulated electricity market. Customers who never choose a supplier pay their utility's default rate, called the Price to Compare (PTC). Here is how that benchmark stacks up:
| Metric | Philadelphia (PECO) | Pittsburgh (Duquesne Light) |
|---|---|---|
| Current PTC (through May 31) | 11.024¢/kWh | 13.75¢/kWh |
| June 2026 PTC | 11.572¢/kWh | 14.14¢/kWh |
| Increase | +5.0% | +2.8% |
| Residential customers | ~1.7 million | ~600,000 |
At average Pennsylvania household usage of 850 kWh per month, the supply portion of your bill looks like this:
- Philadelphia (PECO): $93.70 per month
- Pittsburgh (Duquesne Light): $116.88 per month
- Difference: $23.18 per month, or roughly $278 per year
That annual gap is real money. But it does not tell the whole story about which city's residents actually pay more or save more.
For the latest PECO rate details, see our PECO Price to Compare update. For Duquesne Light, see our Duquesne Light Price to Compare update.
Why PECO and Duquesne Light rates differ
Both utilities purchase capacity and energy through PJM Interconnection, the regional grid operator that serves 65 million people across 13 states. Both are subject to the same wholesale market dynamics, including the 833% capacity auction price spike that has driven rates higher across Pennsylvania since 2024.
Yet their default rates diverge. Several factors explain the gap:
Service territory and load characteristics. PECO serves southeastern Pennsylvania, including Philadelphia and its dense suburbs. Duquesne Light serves the Pittsburgh metro area in southwestern Pennsylvania. Each utility's customer mix, peak demand patterns, and transmission costs differ based on geography.
Procurement strategies. Utilities purchase wholesale power through a combination of long-term contracts, short-term market purchases, and capacity obligations. The timing and structure of these purchases affects how quickly wholesale price changes flow through to retail rates. PECO and Duquesne Light do not purchase power identically.
Rate case timing. Pennsylvania utilities file rate cases with the Public Utility Commission to adjust their charges. The timing of these filings, and the specific cost allocations approved, create differences that persist between rate case cycles.
Transmission congestion. Electricity prices vary by location within PJM based on transmission constraints. Western Pennsylvania and eastern Pennsylvania sometimes face different congestion costs depending on where generation is located relative to demand.
The result is that two customers using the same amount of electricity in the same state can pay meaningfully different rates simply because they live in different utility territories.
For more on how Pennsylvania's deregulated market structures these costs, see our guide to Pennsylvania electricity deregulation.
How usage patterns differ between the cities
Rate is only half the equation. Your bill equals rate times usage. Philadelphia and Pittsburgh households use electricity differently.
Climate. Pittsburgh sits further north and west, with colder winters and slightly more heating degree days. Philadelphia has milder winters but hotter, more humid summers. Both cities see meaningful seasonal swings in electricity use, but the patterns differ. Households with electric heat in Pittsburgh may use more electricity in winter; households with central air conditioning in Philadelphia may use more in summer.
Housing stock. Philadelphia's dense neighborhoods include many rowhouses with shared walls, which tend to be more energy-efficient per square foot than detached homes. Pittsburgh's housing stock is more varied, with a mix of older homes in established neighborhoods and newer construction in surrounding suburbs.
Household size and income. Larger households use more electricity. Higher-income households tend to have more appliances and larger homes. The demographic mix in each city affects aggregate usage patterns.
The practical implication: a Pittsburgh household paying the higher rate might still have a lower total bill if they use less electricity. And a Philadelphia household with high summer air conditioning use might pay more despite the lower rate.
Average usage figures (around 850 kWh per month statewide) are just that, averages. Your actual bill depends on your actual usage.
Supplier competition by city
Pennsylvania's deregulated market means you can choose your electricity supplier regardless of which utility serves you. Both Philadelphia and Pittsburgh have active competitive markets:
| Metric | Philadelphia (PECO) | Pittsburgh (Duquesne Light) |
|---|---|---|
| Active supplier plans | 122 | 107 |
| Number of suppliers | 54 | 54 |
| Cheapest available rate | 9.09¢/kWh | 10.79¢/kWh |
Both markets have robust competition. The same number of suppliers operate in each territory, and both offer more than 100 plans. The difference is in where prices land.
The cheapest plan in PECO territory undercuts the default rate by nearly 2 cents per kWh. The cheapest plan in Duquesne Light territory undercuts its default rate by about 3 cents per kWh. In both cases, switching to a competitive supplier can meaningfully reduce your bill.
You can browse current plans for PECO territory and Duquesne Light territory on our utility pages.
Which city's customers benefit more from switching
Here is the math that matters: how much can you save by switching from the default rate to the cheapest available plan?
Philadelphia (PECO):
- Default rate: 11.024¢/kWh
- Cheapest available: 9.09¢/kWh
- Savings: 1.93¢/kWh
- At 850 kWh/month: $16.41 per month, $197 per year
Pittsburgh (Duquesne Light):
- Default rate: 13.75¢/kWh
- Cheapest available: 10.79¢/kWh
- Savings: 2.96¢/kWh
- At 850 kWh/month: $25.16 per month, $302 per year
Pittsburgh customers who switch save more in absolute dollars because they start from a higher default rate. The gap between the PTC and competitive rates is wider in Duquesne Light territory.
This does not mean Pittsburgh is "better" or "worse" for electricity costs. It means that Pittsburgh customers have more to gain from actively shopping, while Philadelphia customers start from a lower baseline.
In both cities, switching is free, takes about five minutes, and does not interrupt service. For step-by-step instructions, see our guide to switching suppliers in Pennsylvania.
What is the same across both cities
Despite the rate differences, Philadelphia and Pittsburgh electricity customers share more than they differ:
Same wholesale market. Both utilities purchase power through PJM. The same capacity auction results, the same coal plant retirements, and the same data center demand growth affect both regions. The 833% capacity price increase has pushed rates higher in both cities.
Same legal right to switch. Pennsylvania law gives every residential customer the right to choose their electricity supplier. Your utility cannot prevent you from switching, and the process is the same regardless of whether you have PECO or Duquesne Light.
Same utility role. Your utility handles delivery regardless of your supplier choice. PECO still delivers power, maintains the grid, and responds to outages for Philadelphia customers. Duquesne Light does the same for Pittsburgh customers. Switching suppliers only changes who supplies your electricity, not who delivers it.
Same bill structure. Both utilities send a single bill that includes supply charges (from your supplier or the default rate) and delivery charges (from the utility). The mechanics work the same way.
FAQ
Why is electricity more expensive in Pittsburgh than Philadelphia?
Pittsburgh's default rate is higher due to differences in how Duquesne Light and PECO purchase wholesale power, transmission cost allocations, and rate case timing. Both utilities draw from the same PJM grid, but their procurement strategies and regulatory filings produce different retail rates.
Can I get the same supplier plan in both cities?
Many suppliers operate in both PECO and Duquesne Light territories, but rates vary by utility zone. A supplier might offer 9.5¢/kWh in Philadelphia and 11¢/kWh in Pittsburgh for the same plan name. Always check rates for your specific ZIP code.
Do I need to do anything differently when switching in Pittsburgh vs. Philadelphia?
No. The process is identical. Enter your ZIP code on PA Power Switch or a comparison site, compare rates against your utility's Price to Compare, and enroll online with your utility account number. The switch takes one to two billing cycles to complete in both territories.
Are bills actually higher in Pittsburgh year-round?
Not necessarily. Pittsburgh has higher rates, but bills depend on usage. A Pittsburgh household that uses less electricity might pay less than a Philadelphia household with heavy air conditioning use. The rate gap is consistent; the bill gap depends on your consumption patterns.