Pennsylvania Price to Compare Explained

What is the Price to Compare?

The Price to Compare (PTC) is your utility's default generation rate—the per-kilowatt-hour price you pay for electricity supply if you haven't chosen a competitive supplier. In Pennsylvania's deregulated market, the PTC serves as your benchmark: any supplier offer should be evaluated against this number.

Your electricity bill has two main components: delivery charges and generation (supply) charges. Your utility—whether PECO, PPL, Duquesne Light, or one of the FirstEnergy companies—always handles delivery. That part doesn't change regardless of who supplies your power. The generation charge is where choice comes in, and the PTC is your utility's price for that generation.

When suppliers advertise rates, they're competing against the PTC. If a supplier offers 8.5¢/kWh and your PTC is 9.2¢/kWh, you'd save 0.7¢ on every kilowatt-hour you use. For a household using 1,000 kWh per month, that's $7 monthly or $84 annually. The math is straightforward—but only if you know your PTC.

Where to find your Price to Compare

Pennsylvania requires utilities to display the PTC prominently. You can find it in three places:

• On your monthly bill.Look for a box or section labeled "Price to Compare" or "Generation Price to Compare." The location varies by utility. On PECO bills, it's typically in the upper right of the front page. PPL places it in the "Important Messages" section. If you can't find it, search your bill for "PTC" or the phrase "price to compare."
• On PA Power Switch. The Pennsylvania Public Utility Commission operates papowerswitch.com, which displays current PTCs for all Pennsylvania utilities. Enter your ZIP code, and the site shows your utility's PTC alongside supplier offers.
• On your utility's website.Each utility posts its current PTC online, usually in a "Rates" or "Electric Choice" section. This is useful for checking mid-billing-cycle or verifying that a quoted PTC is current.

How utilities calculate the PTC

Utilities don't generate electricity themselves—they purchase it through a regulated procurement process. The PUC oversees competitive auctions where wholesale suppliers bid to provide power. Utilities buy a portion of their supply needs at different times to spread risk and smooth out price volatility.

The PTC changes periodically, typically quarterly for residential customers, though the schedule varies by utility. When wholesale costs rise—due to natural gas prices, seasonal demand, or grid conditions—the PTC tends to increase at the next adjustment. When wholesale costs fall, the PTC may decrease.

This means the PTC you see today may not be the same PTC three months from now. Suppliers with fixed-rate contracts lock in a rate for 6, 12, or 24 months, which can be advantageous if you expect the PTC to rise. It can also backfire if the PTC drops significantly during your contract term.

Current PTC rates for major PA utilities

Based on 2024EIA data, here are the average residential rates for Pennsylvania's major utilities. Note that these are annual averages; your current PTC may differ based on the most recent quarterly adjustment.

Source: U.S. Energy Information Administration, 2024 data. For current PTCs, check your bill or PA Power Switch.

For reference, the most recent Pennsylvania statewide residential average is 20.92¢/kWh as of March 2026.

How to use the PTC when evaluating supplier offers

The PTC is your baseline. When a supplier quotes you a rate, compare it directly to your PTC. A rate lower than the PTC saves you money on generation; a rate higher than the PTC costs you more. It's that simple—until marketing gets involved.

• Compare apples to apples.Make sure you're comparing the supplier's per-kWh generation rate to your utility's per-kWh generation rate. Some suppliers quote "all-in" rates that include delivery; that's not a fair comparison to the PTC, which is generation only. Ask for the generation rate specifically.
• Watch for teaser rates.A supplier might advertise 7.9¢/kWh in large print, but that rate only applies to the first month or to usage above a certain threshold. Read the disclosure carefully. PA PUC requires suppliers to provide a standard "Disclosure Statement" with consistent formatting—use it.
• Beware of variable plans.Variable-rate plans can start lower than the PTC but spike during summer months or wholesale price surges. If you're comparing a variable rate to the PTC, understand that the comparison is only valid for the current month. The supplier can raise the rate next month with minimal notice.
• Factor in contract length. The PTC changes quarterly. A 12-month fixed-rate contract locks in your rate regardless of PTC changes. If you believe wholesale prices (and thus the PTC) will rise, locking in a fixed rate below the current PTC makes sense. If you believe prices will fall, a shorter term or staying on default service may be better.

Common mistakes when reading the PTC

• Confusing the PTC with your total rate.Your bill shows multiple charges: generation, transmission, distribution, taxes, and fees. The PTC is only the generation piece. When you switch suppliers, only the generation charge changes. Delivery charges stay the same. Some customers expect their entire bill to drop by the difference between the PTC and a supplier rate—it won't.
• Using an outdated PTC.The PTC on last month's bill may not be the current PTC. If you're shopping in March and the utility adjusted rates on April 1, you need the new PTC for an accurate comparison. Always verify the current PTC before signing up.
• Ignoring early termination fees. If you lock in a supplier rate below the PTC and then the PTC drops, you might want to switch back. But fixed-rate contracts often include early termination fees (ETFs), typically $50-$150 or a per-kWh penalty. Calculate whether the savings justify the commitment.
• Assuming lower is always better.A rate 2¢/kWh below the PTC sounds great—until you read the contract and find it's a variable rate with no cap, or it renews at a much higher rate after the initial term. The lowest advertised rate is not always the best deal over time.

Frequently asked questions

How often does the Price to Compare change?

For residential customers, the PTC typically changes quarterly, though the exact schedule varies by utility. Your utility announces rate changes in advance, and the new PTC appears on your bill and on PA Power Switch when it takes effect.

Is the Price to Compare the same for all customers in a utility territory?

Yes, within each customer class. All residential customers of PECO, for example, have the same residential PTC. Commercial and industrial customers have different PTCs that reflect their rate schedules.

Can I negotiate the Price to Compare with my utility?

No. The PTC is set through a regulated process and applies uniformly. You cannot negotiate a better rate from your utility. What you can do is shop for a competitive supplier who offers a rate below the PTC.

What happens if I switch suppliers and then my new rate becomes higher than the PTC?

You can switch back to default service at any time. However, if you're on a fixed-rate contract with an early termination fee, you'll need to pay that fee to exit early. Variable-rate customers can typically switch without penalty.

Does the Price to Compare include delivery charges?

No. The PTC is the generation charge only. Delivery charges (which cover transmission and distribution) are separate and remain on your bill regardless of which supplier you choose. Your total rate is the PTC (or supplier rate) plus delivery plus taxes and fees.