Low Temperatures Lead To Higher Wholesale Electricity Prices
By Tony Romeo
HARRISBURG, Pa. (CBS) -- The Pennsylvania Public Utility Commission is warning electric customers who have a competitive supplier to review their contracts after recent price increases in the wholesale power market.
PUC spokeswoman Jennifer Kocher says the recent cold has driven up demand for electricity and that's driven up prices on the wholesale market. That could be a problem if you signed up for a variable rate -- or signed up for fixed rate when competition began but may not be aware you now have a variable rate.
"There's plenty [of] people out there who shopped for electricity right when the rate caps expired," Kocher says. "They have been getting a great rate along the way, but because that initial contract had expired, that fixed rate may no longer be fixed."
If you do have a variable rate, you may already be paying more for electricity. The PUC urges customers to check the terms and conditions of their supply contract and evaluate options at the PUC's website.