It looks like utility customers across Pennsylvania will be shelling out even more money to power their homes this winter.
The PA Public Utilities Commission allowed every single state-regulated utility to raise its rates starting December 1 -- some by as much as 50%.
Here's a complete list of all the rate hikes that just went into effect across the Keystone State.
- Citizens Electric, up from 9.3667 cents to 12.2259 cents per kWh (31%);
- Duquesne Light, estimated increase from 9.36 cents to 11.25 cents per kWh (20.2%);
- Met-Ed, up from 9.397 cents to 10.303 cents per kWh (10%);
- PECO, up from 8.508 cents to 9.855 cents per kWh (15.8%);
- Penelec, down from 10.021 cents to 9.889 cents per kWh (-1%);
- Penn Power, up from 10.348 cents to 10.511 cents per kWh (2%);
- Pike Co. Light & Power, Dec. 1 PTC not finalized - currently at 12.8994 cents per kWh;
- PPL, up from 12.366 cents to 14.612 cents per kWh (18%);
- UGI Electric, no PTC change on Dec. 1 from the current 12.903 cents per kWh;
- Wellsboro Electric, up from 9.592 cents to 12.816 cents per kWh (34%);
- West Penn Power, up from 8.306 cents to 8.517 cents per kWh (3%).
Already soaring rates
Unfortunately, that's only the latest piece of bad news for PA residents who still rely on industrial-generated power. Like most other commodities in these inflationary times, electric rates have been climbing all year.
Take western PA utility giant, Pennsylvania Light & Power's 2.5 million customers.
They got hit with a 26% increase last December and then with ANOTHER 38% rate hike in June. So, this month's 18% hike means that -- in just the last year -- folks who rely on PPL for their power have seen their costs more than double.
Soaring natural gas prices
Of course, these days, the cost of everything is going up.
But, besides all the factors driving up prices in general, energy has been subjected to some unique and long-term inflationary pressure of its own.
Utilities generate around 40% of their power by burning natural gas. So, when global shortages caused the price of that commodity to start surging last year, electricity rates quickly followed suit.
In fact, those first two PPL rate hikes s occurred immediately after sudden spikes in the price of natural gas.
To make matters worse, because of the war in Ukraine, any natural gas coming from Russia -- one of the world's top suppliers --is now banned.
Only the beginning
As the Wall Street Journal and other major news outlets have noted, Utility companies are also about to embark on a necessary but highly expensive spending spree.
Some of the big bucks they're about to drop will go toward replacing aging infrastructure which, as things stand, is starting to deliver more frequent and longer power outages instead of electricity.
The rest will go toward meeting new state and federal mandates on carbon emissions.
All told, American power companies will be shelling out hundreds of billions of dollars over the next few years -- substantially more than they've spent in over two decades.
But, of course, it's their customers who'll be the ones ultimately footing the bill.
Locking in a low electric rate with solar
So a lot of Americans are facing a choice.
Pay increasingly higher monthly bills for years to come so their utility company can generate environmentally friendly power without frequent and severe power outages.
Or spend less by generating their own clean and renewable solar power which, with the addition of a battery, can provide power even when the grid goes down.
Either way, you’ll be the one footing the bill.
So, don't you think you also ought to be the one reaping the rewards?