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Just in time for winter: Consumers will see jump in utility bills as electric prices adjust

Electric meter
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LehighValleyNews.com
The Pennsylvania Public Utility Commission is alerting consumers that energy supply prices for all regulated electric utilities will adjust on December 1.

BETHLEHEM, Pa. — Temperatures are falling. Your electric bill is rising.

That’s the gist of a reminder issued Monday by the Pennsylvania Public Utility Commission, or PUC. The agency is alerting consumers that energy supply prices for all regulated electric utilities will adjust on Dec. 1.

The warning arrived with the average monthly temperature in the Lehigh Valley sitting at 43.7 degrees this November — or 1.2 degrees below average.

Forecasters also are warning of "higher than usual confidence" in a cold — and perhaps snowy — December, thanks in part to a disruption in the polar vortex.

The Chicago area was digging out last week after a band of lake-effect snow buried the Windy City, dropping up to a foot in some areas. Could the Lehigh Valley be far behind?

Why it matters

Two key pieces of your electric bill are the generation/supply charge and the delivery/distribution charge.

The supply charge is the cost of the electricity you use, set by a competitive supplier (if you shop for electricity) or the main utility’s price to compare if you don’t.

The delivery/distribution charge includes the cost for infrastructure, such as poles and wires, that help to deliver your energy and is a cost set by the PUC.

In the Lehigh Valley, PPL Electric and Met-Ed both will see price increases — PPL from 12.49 to 12.953 ¢/kWh (+3.7%) and Met-Ed from 11.905 to 12.965 ¢/kWh (+8.9%) — which can be instantly compared to other prices at papowerswitch.com.

Customers should understand that generation/supply typically make up 40% to 60% of a utility bill, the PUC said in a news release, with variables such as weather, usage and efficiency of a home heating system also playing a role.

The price to compare also will increase for small business customers in Met-Ed’s service areas, ranging between 6.5% and 13.8%, the PUC said.

What about natural gas?

Unlike electric, there is no single "reset date" for gas energy prices, a PUC spokesman said. Gas utilities adjust their “purchase gas costs” on a cycle that’s different from the electric utilities — and the dates vary between gas utilities.

Consumers can check the PAGasSwitch website for more details on anticipated gas price changes, with the PUC compiling that information for publication in the coming weeks, the spokesman said.

Utility assistance

The PUC urges consumers struggling with high energy costs to call utilities directly to learn about assistance programs or address overdue balances.

Universal service programs, such as Customer Assistance Programs (CAPs), budget billing, weatherization and hardship funds, are designed to help eligible households reduce energy use and lower monthly costs.