PPL seeks rate hike, residential bills could raise by nearly 7%

PPL Electric Utilities is asking state regulators for an increase in rates that could raise bills for residential customers by nearly 7%.

PPL is the primary electric provider used by residents in the Lehigh Valley.

The utility filed a request Tuesday with the Pennsylvania Public Utility Commission seeking an annual base rate hike of $356 million, which would boost the company’s overall revenue by roughly 8.6%.

Under the proposal, a typical residential customer using 1,000 kilowatt-hours per month could see their monthly bill rise from about $191.49 to $204.86. Commercial and industrial customers could face smaller increases.

The Public Utility Commission (PUC) must review and approve the request, and it has the authority to adjust the proposed rate changes for each class of customer. If approved, the new rates would take effect July 1.

PPL officials said the increase, its first in more than a decade, is aimed at upgrading and modernizing its electrical grid. The company plans to strengthen infrastructure to better handle severe weather, implement advanced smart grid technology and improve customer service systems.

A recent PUC report noted that PPL recorded 17 power outages in 2024, the highest number for any Pennsylvania electric distribution company in more than three decades.

“In recent years, we have faced record-breaking storms in frequency and intensity,” said PPL Electric President Christine Martin in a news release. “We’re proud to have prevented more than half a million power outages so far this year, but we know our work is not done. These investments are critical to keeping the lights on and serving our communities effectively.”

The proposed increase comes amid widespread pressure on households already coping with rising utility costs due to higher energy supply prices. Martin emphasized that PPL has worked to keep controllable costs low and maintains some of the lowest distribution rates in the state.

“It’s essential to invest in maintaining and upgrading our system,” Martin said. “This rate adjustment would support those efforts and help ensure reliable power, especially as severe weather events become more frequent.”