ALLENTOWN, Pa. — Lehigh Valley residents will see higher electric bills beginning Dec. 1 as both PPL Electric Utilities and Met-Ed raise their rates, with an additional PPL rate proposal under review by state regulators.
PPL’s residential supply rate will rise 3.7%, from 12.49 cents to 12.953 cents per kilowatt-hour. Met-Ed’s rate will increase 8.9%, from 11.903 cents to 12.965 cents per kWh. Customers who do not shop for an alternative supplier through the state’s PA Power Switch marketplace pay these default supply rates.
The increases mean a customer using 1,000 kWh per month will pay $4.63 more with PPL and $10.62 more with Met-Ed.
Utilities purchase electricity through competitive auctions and pass supply costs to non-shopping customers without markup. Prices reset twice a year, on June 1 and Dec. 1. PPL said rising supply costs across the 13-state grid are driving the December increase.
“PPL Electric continues to see electric generation supply prices rise across Pennsylvania and the broader PJM region due to an unprecedented surge in electricity demand and limited new generation resources being added,” spokeswoman Jane George said in a statement.
Higher demand stems from growth in energy-intensive facilities such as data centers and increased use of electric vehicles. Natural gas — the dominant fuel for Pennsylvania power — is also getting more expensive.
On the supply side, Pennsylvania continues to add renewable energy. The state reached 2 gigawatts of installed solar capacity in July, 17 months after surpassing 1 GW.
PPL is pursuing a separate distribution rate increase — its first since 2015. Filed in September, the request seeks an additional $356.3 million in annual revenue, a 33.4% boost. As proposed, a residential customer using 918 kWh per month would see their total bill rise about 7%, from $177.01 to $189.40.
The PUC voted in October to suspend and investigate the distribution case, with a final decision expected by July 1, 2026.
PPL encourages customers struggling with bills to explore budget billing, payment plans, usage alerts and energy-saving programs. The utility and the PUC also offer assistance programs, regardless of income, at ppllectric.com and puc.pa.gov.