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Rate increases coming to Penelec customers
By: Lauren Hensley and WJAC Web Staff
STATE COLLEGE, Pa. -- The unusually cold winter weather may seem like a thing of the past but months later, its impact might still be felt and it could be impacting your bottom line.
According to electric companies the polar vortex is one of the reasons customers are going to see their electric bill go up next month.
Several times a year Penelec purchases electricity from a supplier to pass along to customers. On June 1, Penelec customers will see their bills increase.
"That overall increase on the customer bill is going to be about 12 percent or so. The reason for that is for the generation portion of the bill is only about 65-70 percent; of the customer bill," Scott Surgeoner, Penelec spokesperson said.
According to Surgeoner, the average residential customer who uses 750 kilowatt hours per month, their bill currently costs around $95.60. itIt will cost $107.19 after June 1. That is almost a $12 increase.
"What we are trying to do is minimize any wild price swings either higher or lower," Surgeoner said.
The rates are going up because of looming summer demand and to make up for electricity the utility had to buy during the unusually cold winter, Surgeoner said.
Energy providers said the best thing customers can is to shop around. Customers can visit PA Power Switch to check out alternatives and compare prices. But a word of caution: A lower price might not be the best deal.
"If you do choose an alternative supplier, know what you are getting into, the terms of the contract, like the length of the contract; is it a fixed or variable price? Is there an exit fee or cancellation fee?" Surgeoner said.