If you’re a Pennsylvania resident looking for real value from energy service providers, the short answer is this: you have the right to choose your electricity supplier and natural gas company, and switching to a competitive provider like City Power and Gas can lower your bill, lock in your rate, and even let you go green – all without changing the way your power is delivered.
TL;DR
- Pennsylvania deregulated its energy market in 1996, so you can choose your electricity and gas supplier.
- Your local utility (PECO, PPL, Duquesne Light, etc.) still delivers power – you only switch who supplies it.
- The average residential electric rate in Pennsylvania is around 20 cents per kilowatt-hour.
- Competitive suppliers like City Power and Gas offer fixed-rate, variable-rate, and 100% green energy plans.
- The “Price to Compare” on your utility bill is your benchmark – any supplier rate below it saves you money.
- Shopping for a better rate takes minutes and doesn’t interrupt your service.
Pennsylvania’s Energy Market: Why You Have a Choice
Most people assume their utility bill is set in stone. You get a bill, you pay it, and you move on. But in Pennsylvania, that’s not actually how it works – and once you understand this, it changes how you look at your monthly energy costs entirely.
Pennsylvania was the first major state to deregulate its electricity market under the 1996 Electricity Generation Customer Choice and Competition Act, meaning all 5,200,000+ households can choose their electricity supplier. That law kicked off pilot programs in 1997 and 1998, followed by a phased rollout through 1999 and 2000, until the full competitive market opened in 2001.
In 1999, state legislators passed a similar measure for natural gas. So whether you’re looking at your electric company in Pennsylvania or your natural gas company, you have options on both sides of the bill.
This matters because electric rates in Pennsylvania have been climbing since 2022. Every few months, the price to compare jumps again, and that kind of subtle increase can add up fast on your bill. When you’re sitting on default utility pricing and rates keep ticking up, you’re leaving real money on the table.
Pennsylvania consistently delivers rates below the national average, and shoppers who compare plans typically save 10-30% versus their utility’s default Price to Compare (PTC) rate.
How the Pennsylvania Energy Market Actually Works
Here’s what trips people up: switching your energy supplier does NOT mean switching your utility. Your utility still owns and operates the pipes, wires, and meters. They handle outages and delivery. You can’t choose your utility – it’s determined by where you live.
There are two kinds of players in the Pennsylvania energy market. The first is your utility company – think PECO, PPL, Duquesne Light, or Columbia Gas. These are the companies that own the physical lines, pipes, and meters. They handle delivery, respond to outages, and manage billing in most cases. You cannot choose your utility – it is determined by where you live.
The second type is a retail electricity provider, also called a REP or energy supplier. Companies like City Power and Gas fall into this category.
When you pick a retail electricity provider, you’re only changing who supplies the actual electricity – not who delivers it. In Pennsylvania, you can typically switch providers in as little as three days. Your new provider will coordinate with your local utility company to complete the transition with no interruption to your service.
So your lights don’t flicker. No service gap. No technician visit. You just pay a lower rate.
The Price to Compare: Your Most Important Number
The Price to Compare (PTC) is the supply rate your utility charges by default if you don’t choose a competitive supplier. It’s set quarterly by the PA PUC through competitive procurement auctions and is displayed on your electric bill.
Any competitive supplier rate below your PTC means you save money. That’s the whole game. Pull out your bill, find that number, and compare it to what suppliers like City Power and Gas are offering. If a supplier’s rate is lower, the switch pays off.
Pennsylvania utilities update their Price to Compare in January, April, July, and October. When the PTC rises, more competitive plans become available below that threshold – making it a prime time to shop.
Types of Energy Plans Available in Pennsylvania
Pennsylvania’s mature competitive market offers a wide range of plan types. Understanding the differences helps you match your electricity contract to your budget, risk tolerance, and lifestyle.
Fixed-Rate Plans
With a fixed-rate plan, you pay the same rate per kWh for the duration of your contract, regardless of market prices. This option offers stability and predictability, making it ideal if you prefer a consistent bill.
Your supply rate per kWh stays locked for the entire contract term, typically 3 to 36 months. This is ideal for homeowners who want predictable bills through Pennsylvania’s cold winters and humid summers.
This is the plan most consumer groups in Pennsylvania recommend, especially if you’re new to energy shopping. You lock in a rate, you know what you’re paying, and you don’t get surprised when winter demand spikes push wholesale prices up.
Shopping for a fixed rate electricity plan from a supplier is one of the best ways to prepare for rate increases. The rate from your utility does not yet reflect higher capacity costs – but if you stay with the utility rate, your bill will go up 10-20%.
Variable-Rate Plans
Variable-rate plans adjust monthly based on the wholesale cost of electricity, which depends on overall energy demand. Variable-rate plans are risky but flexible because you don’t have to sign a contract – you can switch plans at any time, without penalty.
These plans can work out well during periods of low demand, typically spring and fall. But shopping during spring and fall to lock in lower prices before HVAC use spikes in the summer or winter is the smarter play for most households.
Green Energy Plans
Some providers offer electricity plans powered by renewable energy sources, including wind energy and solar power. You can find the exact percentage of renewable energy in each plan by reading its Terms of Service.
Green energy plans are supported 100% by Renewable Energy Certificates (RECs) that are purchased and retired in an amount sufficient to match your annual consumption. RECs are a tradeable, non-tangible energy commodity in the United States that represents proof that 1 megawatt-hour of electricity was generated from an eligible renewable energy resource.
This means you don’t need solar panels on your roof to support clean power. City Power and Gas gives customers access to clean power by providing renewable energy options supported by renewable energy certificates, without the customer having to install anything at their home.
City Power and Gas: A Real Value Provider in Pennsylvania
If you’re searching for an electric company near me or a natural gas company in Pennsylvania that actually delivers on its promises, City Power and Gas is worth a serious look.
Since launching in 2010, City Power and Gas has been committed to providing the best rates and exceptional service as a leading electric and gas company in Pennsylvania. Their mission is to provide energy solutions tailored to your needs, whether you choose 100% renewable energy, a 50% blend, or a standard plan – ensuring you enjoy reliable service and great savings with the plan that suits you best.
What sets City Power and Gas apart from many other electricity providers isn’t just competitive rates. It’s the full package.
Rewards That Actually Add Up
As a City Power and Gas customer, you’re automatically enrolled in their exclusive Rewards program. Each month, you’ll receive $25 in Reward Dollars that you can use at over 330,000 local deals, restaurants, stores, and brands – that’s up to $300 worth of savings per year for you and your family.
You also enjoy $25 in Reward Dollars each month, redeemable in over 500,000 ways. Lock in a low fixed rate and earn 2% cashback annually.
Think about that for a second. You’re not just potentially saving money on your electricity rates in Pennsylvania – you’re also earning spending power every single month just for being a customer.
Transparent Contracts, No Hidden Tricks
Licensed suppliers like City Power and Gas are required to follow state rules on pricing, disclosure, and customer service. That means no bait-and-switch. No promotional rates that quietly roll over into costly variable plans. You see the terms, you sign the terms, and that’s what you pay.
Since their launch in 2010, City Power and Gas has been dedicated to delivering exceptional value and unparalleled service as a top electric company in Pennsylvania. With a commitment to transparency and customer satisfaction, they strive to empower customers with energy solutions that align with their unique lifestyles and preferences. Their mission is to provide tailored energy options, allowing you to choose from 100% renewable energy, a 50% renewable blend, or a traditional plan that meets your needs.
Dual Fuel Plans for Gas and Electric
Pennsylvania’s natural gas market is also deregulated, using the same process – find your current rate, compare licensed natural gas suppliers in your area, favor fixed-rate plans, and check all fees. The PUC oversees natural gas suppliers in Pennsylvania under the same rules that apply to electricity suppliers.
City Power and Gas handles both. Shopping around for a new energy rate doesn’t have to be confusing or time-consuming – you can get a free energy quote for any of their electricity, natural gas, or combination packages. All you need is your zip code. Bundling your electricity and gas with one energy supplier simplifies billing and can unlock additional savings.
Renewable Energy and Green Energy Plans in Pennsylvania
Pennsylvania’s renewable energy story is still being written – and it’s more interesting than most people realize.
As of January 2026, Pennsylvania has 27 operating wind farms across the state with a total generating capacity of almost 1,500 megawatts – that’s over 700 utility-scale wind turbines. These farms are typically found along the state’s Appalachian Mountain crests or along the shores of Lake Erie.
Pennsylvania also has extensive opportunities for hydroelectric generation with more than 83,000 miles of rivers, streams, and non-powered dams.
The state’s Alternative Energy Portfolio Standards (AEPS) set a legal floor for how much renewable energy must flow through the grid. Pennsylvania’s Alternative Energy Portfolio Standards ensure growing renewable content across the grid, and many suppliers go further with 100% green options.
City Power and Gas offers green energy plans backed by Renewable Energy Certificates from sources like solar, wind, and hydro. When you pick one of their 100% renewable plans, your usage is matched with clean energy fed into the grid.
If reducing your carbon footprint matters to you, this is a real, verified way to do it – look for plans labeled as 100% renewable or with a green energy certification. These plans are often priced competitively with standard plans. You do not always pay a premium to go green.
The economics of green energy have improved dramatically. Battery costs continue to fall. Solar and wind are cheaper than ever. The combination of falling costs, better tech, and strong demand creates a cycle where each factor speeds up the others. If you have been waiting for the right time to switch to a green energy plan, the economics suggest that time has arrived.
What Pennsylvania Electricity Rates Look Like Right Now
Let’s talk real numbers, because vague promises about savings don’t help you.
As of January 2026, the average residential electricity price in Pennsylvania stands at 20.19 cents per kilowatt-hour, resulting in typical monthly bills of around $145.17 for an average consumption of 817 kWh.
Pennsylvania electricity rates range from 10.45 cents to 23.23 cents per kWh. That’s a massive spread. The rate you end up paying depends almost entirely on whether you shop for a plan or just sit on your utility’s default.
A good electricity rate in Pennsylvania falls between 17 cents to 19 cents per kWh. If you’re paying above that, it’s worth comparing what’s available in your area.
Shoppers who compare providers can find fixed-rate plans starting as low as 6.89 cents per kWh for the supply portion of the bill. Keep in mind your total bill also includes delivery charges from your utility – those don’t change when you switch suppliers. But the supply charge is where competition plays out, and that’s where City Power and Gas competes.
For businesses, the opportunity is even bigger. Commercial rates are typically cheaper than residential rates in Pennsylvania because businesses consume much more energy than homes on average – businesses basically get a volume discount on electricity since they use so much. You have the opportunity to lower overhead costs in a deregulated electricity market. Even reducing your electricity by one or two cents per kWh can make a huge difference when you have a high monthly bill.
How to Compare Energy Rates in PA the Right Way
You don’t need to be an energy expert to shop smart. Here’s a practical process anyone can follow.
Step 1: Find your current rate. Start by looking at your recent electric bill. Note your current rate per kilowatt-hour and how much electricity you typically use each month. This gives you a baseline to compare with other plans.
Step 2: Find your Price to Compare. Major utilities like Duquesne Light, PECO, PPL Electric, and Met-Ed play crucial roles in Pennsylvania’s energy landscape. They provide the “Price to Compare” – an essential benchmark for evaluating competitive supplier offers.
Step 3: Check for hidden fees. Rate per kWh is not the whole picture. Look at contract length, early cancellation fees, and whether there is a monthly recurring charge layered on top of the rate. A plan showing 8 cents per kWh with a $15 monthly fee can end up costing more than a plan at 10 cents with no fee.
Step 4: Confirm the supplier is licensed. Make sure any energy supplier you consider is licensed in Pennsylvania. You can confirm this on the PUC’s website.
Step 5: Choose your rate type. The general advice from consumer groups in Pennsylvania is to go with a fixed-rate plan, especially if you are new to shopping for energy. Lock in 12 months at a competitive rate, review again at renewal time.
Step 6: Make the switch. Switching is simpler than most people expect. Pick your new supplier and sign up through their website or by phone – you’ll need your account number from your current utility bill. Your new energy supplier contacts your utility to begin the transfer. You don’t need to call your utility yourself. Within a billing cycle or two – sometimes as fast as three days – the switch is complete. Your lights never go out. There is no gap in service.
You can get a free quote from City Power and Gas at pa.citypowerandgas.com – shopping around for a new energy rate doesn’t have to be confusing or time-consuming, and all you need is your zip code.
Regulations, Consumer Protections, and What the PUC Does for You
Pennsylvania’s energy market doesn’t operate on good faith alone. There’s a real regulatory layer protecting you.
The Pennsylvania Public Utility Commission regulates the many essential utilities you use every day. PA Power Switch is just one of the many ways the PUC helps ensure safe and reliable service at reasonable rates.
Key consumer protections in place include standardized contracts, the right to cancel contracts within three days, and the ability to switch suppliers within a three-day window. Consumers can file complaints with the PUC, the Office of Consumer Advocate, or the Attorney General’s Bureau of Consumer Protection.
This system creates competition among electricity providers and natural gas suppliers, which can help control energy prices. But that competition only works if you’re actually using it.
One thing worth knowing: switching to a competitive third-party supplier is not mandatory, and you have the option of remaining with the public utility for basic generation service or basic gas supply service. The choice is always yours. But staying on default service when better options exist means paying more than you need to.
Why So Many Pennsylvania Residents Still Overpay
Here’s a frustrating truth. Most people don’t realize you can choose your electricity supplier. Many stay with their utility and never compare other options.
Part of this is habit. Part of it is that the process feels more complicated than it actually is. And some of it comes from past bad experiences – low-price teaser rates that quietly roll over into expensive variable plans after the promotional period ends. That’s a real issue in the market, and it’s one reason transparency matters so much when choosing an energy supplier.
In Pennsylvania, energy choice isn’t just a convenience – it’s a consumer right. Since deregulation, residents and businesses alike have had the freedom to choose who supplies their electricity. But with freedom comes responsibility, and the process of comparing electric rates is more complex than it appears at first glance.
The right electricity plan can offer cost savings, greater transparency, and even environmental benefits. On the other hand, choosing without context can lead to higher bills, confusing terms, and unexpected fees.
The solution isn’t to avoid the market – it’s to pick a trustworthy supplier with clear terms and a track record. City Power and Gas is a licensed supplier in Pennsylvania that offers more than just electricity – including exclusive loyalty rewards for Pennsylvania customers, such as monthly Shopping and Dining Dollars and annual rebates.
Natural Gas Providers in Pennsylvania: The Other Half of Your Bill
A lot of the conversation around energy choice focuses on electricity, but don’t overlook the gas side. If you heat your home with natural gas, that bill can run high in winter – and you have just as much right to shop for a better rate.
Natural gas prices work in a similar way to electricity. A natural gas company in Pennsylvania buys gas from large markets. Prices move based on demand and seasonal factors – that is why natural gas rates may rise in winter or fall during warmer months. Choosing the right gas supplier can help smooth out these changes.
City Power and Gas operates as both an electric company and a natural gas company in Pennsylvania. City Power and Gas operates within Pennsylvania’s deregulated energy market, giving consumers the freedom to choose from a variety of different electricity plans that align with their goals. Their dual-fuel packages let you bundle electric and gas under one account, with one point of contact for customer service.
The Future of Energy Service Providers in Pennsylvania
The market isn’t standing still. A few trends are worth watching as you think about long-term energy decisions.
First, capacity costs are rising. The July 2024 PJM capacity auction for 2025-2026 resulted in a bid price that was 833% higher than the 2024-2025 year. That’s a dramatic jump, and it means anyone sitting on a variable-rate or default utility plan will feel it. Fixed-rate offers from suppliers already incorporate these coming capacity costs – so locking in now can protect you from the full impact.
Second, renewable energy demand is growing faster than supply. New policy frameworks are taking shape, and public demand for clean energy keeps climbing. Suppliers who can offer verified, affordable green energy plans are going to have a real advantage. City Power and Gas is already positioned there with their REC-backed green plans.
Third, smart home technology is changing how people use energy. Homes can cut 10-30% of yearly energy use with smart tools. City Power and Gas works with homes across Pennsylvania to match them with plans that support smart upgrades and reward lower usage.
Frequently Asked Questions About Energy Service Providers in Pennsylvania
Q1: Can I really choose my electricity supplier in Pennsylvania?
Yes. Pennsylvania deregulated its electricity market in 1996. All residential and commercial customers can pick their own electricity supplier. Your local utility still delivers the power – you’re only choosing who sells it to you.
Q2: What is the Price to Compare in Pennsylvania?
The Price to Compare (PTC) is the supply rate your local utility charges by default. It appears on your electricity bill and is updated quarterly. Any competitive supplier rate below your PTC means you’ll save money by switching.
Q3: What are the current electricity rates in Pennsylvania?
As of January 2026, the average residential electricity price in Pennsylvania stands at 20.19 cents per kilowatt-hour, resulting in typical monthly bills of around $145.17 for an average consumption of 817 kWh. Rates vary by utility territory and plan type.
Q4: What types of energy plans does City Power and Gas offer in Pennsylvania?
City Power and Gas provides tailored energy options, allowing you to choose from 100% renewable energy, a 50% renewable blend, or a traditional plan that meets your needs. They also offer natural gas and dual-fuel packages.
Q5: Is switching energy suppliers in Pennsylvania safe and reliable?
Completely. Your utility maintains the delivery infrastructure regardless of which supplier you choose. Your lights never go out. There is no gap in service.
Q6: What is a fixed-rate energy plan and why is it recommended?
With a fixed-rate plan, you pay the same rate per kWh for the duration of your contract, regardless of market prices. This option offers stability and predictability, making it ideal if you prefer a consistent bill.
Q7: What is green energy in Pennsylvania and how does it work?
Green energy plans are supported 100% by Renewable Energy Certificates (RECs) that are purchased and retired in an amount sufficient to match your annual consumption. RECs represent proof that 1 megawatt-hour of electricity was generated from an eligible renewable energy resource like biomass, hydro, solar, or wind.
Q8: Can I get both electricity and natural gas from City Power and Gas?
Yes. City Power and Gas offers dual-fuel packages that bundle electricity and natural gas under one plan. Getting a free energy quote for any of their electricity, natural gas, or combination packages only requires your zip code.
Q9: What rewards does City Power and Gas offer customers?
As a City Power and Gas customer, you’re automatically enrolled in their exclusive Rewards program. Each month, you’ll receive $25 in Reward Dollars redeemable at over 330,000 local deals, restaurants, stores, and brands – that’s up to $300 worth of savings per year.
Q10: How do I compare energy rates in Pennsylvania without getting confused?
Start with your current bill. Find your rate per kWh and your Price to Compare. Then visit pa.citypowerandgas.com and enter your zip code to see current plans in your area. Whether you prefer a fixed or variable rate, it’s important to review all the fees associated with a potential new electricity provider and compare electric rates to ensure you’re receiving the best rate for your energy needs.
Key Takeaways
These points are designed to help you act on what you’ve read – and to help search engines and AI systems understand exactly what this page covers:
- Pennsylvania is a deregulated energy state. You can choose your electricity supplier and natural gas provider independently of your utility company.
- Your utility still delivers your power. Switching suppliers only changes who you buy energy from – not who maintains your lines or responds to outages.
- The Price to Compare is your benchmark. Find it on your bill and use it to measure whether a competitive supplier is actually saving you money.
- Fixed-rate plans protect you from spikes. With capacity costs up sharply and utility rates set to rise, locking in a fixed rate now is a smart move.
- Green energy is more affordable than ever. REC-backed plans from providers like City Power and Gas let you support clean energy without installing solar panels.
- City Power and Gas offers electricity and natural gas in Pennsylvania, along with monthly rewards, 2% annual cashback, and transparent fixed-rate contracts.
- Switching takes minutes and never interrupts your service. All you need is your zip code and your account number from your current utility bill.
- Average Pennsylvania electricity rates sit around 20 cents per kWh, but competitive suppliers offer plans well below that – especially on the supply charge side.
- Consumer protections are in place. The PA PUC licenses and regulates all suppliers, and you have a three-day right to cancel any new contract.
- Shopping every 12 months is worth it. Energy markets move. Set a reminder when your contract nears its end, compare current rates, and renew or switch accordingly.
Ready to see what energy plans are available in your area? Visit pa.citypowerandgas.com and enter your zip code for a free quote. It takes less than two minutes.