Why is my PECO bill going up in December 2025?

The increase is primarily due to higher procurement costs from PECO's latest auction, which reflects elevated PJM capacity prices and current wholesale electricity market conditions. PECO purchases electricity supply through competitive auctions, and these costs are passed through to customers.

How much will the PECO rate increase cost me?

For an average household using 700 kWh per month, the estimated 6% increase from 10.4¢ to 11.0¢/kWh will add approximately $4 to your monthly bill. Year-over-year since December 2024, the nearly 19% increase translates to about $12 more per month for average usage.

Should I switch suppliers before December 1st?

It depends on the offers available. Use Grid Shopper's PECO rate comparison tool to compare current supplier offers with the estimated 11.0¢/kWh default rate. Consider both the rate and contract terms when evaluating options. Be aware that competitive suppliers must price based on current market conditions, which may make it challenging to find significantly lower rates.

When will PECO rates go down?

Rate trends depend on multiple factors including wholesale electricity prices, PJM capacity costs, and natural gas prices. PECO conducts auctions twice yearly (typically March and September) and adjusts rates quarterly. Future rate changes will be announced closer to each rate adjustment date.

What is causing PECO rate increases?

The primary driver has been dramatically higher PJM capacity costs, which increased by over 370% for the 2025-2026 planning year. Capacity costs ensure adequate power generation is available to meet demand, and these costs are embedded in the procurement auction results.

PECO December 2025 Rate Increase: Price to Compare Expected Near 11¢

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