Electric rates to rise this winter in Pennsylvania as power demand outpaces supply, experts say
Be prepared to pay more for your electricity this winter. Rates in Pennsylvania will once again increase on Dec. 1.
Electric companies said bills should only increase by a few dollars per month, but at a time when people are trying to stretch a paycheck as far as it can go, it presents another challenge.
The major suppliers in the Pittsburgh area, Duquesne Light, Penn Power and West Penn Power, will all see an increase. West Penn goes from 12.08 to 12.39 cents per kilowatt-hour. Penn Power will go up from 13.48 to 13.89 cents per kilowatt-hour. Duquesne Light will go from 14.14 to 14.56 cents per kilowatt-hour.
"This is the part of the bill that we do not control as a utility. It's a part of the bill that we do not profit from as a utility. This is purely a carry-through," said Matt Neistein, Duquesne Light's director of communication and brand.
This charge is the price for generating electricity. It's a problem of supply and demand. According to economic experts, AI data centers are one of the biggest drivers of demand.
"They are huge consumers of power, and so that certainly has impacted our rates," said Dr. Dorene Ciletti, Point Park University's director of the sales and marketing program.
Duquesne Light says this is some of the highest demand it has seen in years, and it only gets bigger as supply lags.
"Supply is simply not keeping up. We are not, as a society, as a state, generating enough power to meet that demand," Neistein said.
There is the availability to shop around for a power provider, but experts strongly advise doing research before entering into a contract. What can feel like a deal may end up costing you more.
"There is a lot to it in terms of reading the fine print and making sure that if you are making a change in your supplier, you understand what you're getting into short term and long term," Ciletti said.
It's recommended that residents continue to utilize whatever energy-saving measures they take this time of year.
