Time of Use Pricing With PPL Electric Utilities

PPL Electric Utilities is sponsoring a program called the PPL Electric Time-of-Use Program. This program seeks to encourage participating customers to shift their electricity usage to hours when the demand for electricity is lower and cheaper. We explain the PPL Electric Time of Use Program in detail so that you can decide whether it's right for you.

What is Time of Use (TOU) Pricing?

Time of Use (TOU) pricing for electricity is a variable rate that changes depending on the time of day electricity is used.

Most time of use pricing plans involve two rates: a higher one that corresponds to electricity demand is higher, and a cheaper rate for when demand is lower. This type of pricing plan is attractive to customers who can shift most of their electricity consumption to off-peak times and reduce their electricity use during peak periods of the day.

The goal of time of use pricing is to take pressure off peak demand for electricity (which is when electricity prices are highest), and to encourage an overall demand for electricity that is more constant.

What is the PPL Electric Time of Use Program?

Pennsylvanian state law requires time of use pricing to be available as a pricing option to electricity customers in the state. In 2014, PPL Electric Utilities requested that this option be offered by alternate suppliers, rather than by the utility.  This was approved by the Pennsylvania Public Utility Commission and was effective as of September 10th, 2014, until May 31st. 2017.  

As the program's sponsor, PPL Electric no longer offers time of use rates itself (altern/useful-information/peak-off-peak-rates-for-electricityate suppliers now offer time of use rates instead). Rather, it oversees the implementation and requires participating suppliers to maintain a webpage that details time of use rates for the current quarter. 

How does the PPL Electric Time of Use work?

Customers who enroll in the PPL Time of Use program choose from a list of participating Electric Generation Suppliers (alternate suppliers) for their time of use rate. There are no costs to enroll, and as the PPL Electric Utilities service area is already equipped with smart meters, customers do not need to exchange their meter to take part in the program. Participating customers can use PPL Electric's online "Energy Analyzer" tools to monitor their energy usage habits and to get ideas on how to lower their energy use and save money. They will receive the same monthly bill from PPL Electric Utilities; the only change is that they will see the name, contact information, and rates charged by their chosen Electric Generation Supplier (with separate lines for peak- and off-peak rates).

Why Switch to a Time of Use Rate?

The advantages of choosing a time of use rate include:

• Money savings: you could save money on a lower rate if you are able to shift your usage to low-cost periods
• Risk-free: with no costs to enroll, or to cancel, why not give time of use pricing a try?

Time of Use pricing is only cost-effective if you are able to shift the majority of your energy usage to off-peak hours. Find out more about whether time of use pricing is worth it

If you aren't sure if time of use pricing is right for you, check out PPL Electric Utilities's Energy Analyzer tool, which is available through your online account with PPL Electric.

Which Suppliers Offer Time of Use Rates?

The following suppliers are participating in PPL Electric's Time of Use program:

• Direct Energy
• NRG
• Green Mountain Energy

Want to enroll in a Time of Use Rate? Call us at phone currently not available to speak to an energy professional and to find the best rates available in your area

What happens when I change to a time of use rate?

To sign up for a time of use rate, first check the rates available by the participating suppliers (see above). When you have made your decision, you can either call us at phone currently not available to switch your service, or contact the supplier directly to enroll. Your chosen supplier will notify PPL Electric Utilities of the switch.

Once your account has been activated, you will still continue to receive one bill from PPL Electric Utilities. Under the supplier charges section you will see the name, contact information, and energy charges from your chosen supplier, broken down into peak and off-peak rate. You should call your chosen supplier for any questions about the PPL Electric Time-of-Use Program, but any questions relating to distribution should go to PPL Electric (outages, etc).

About 45 to 60 days before to the end of your contract, your chosen supplier should send you a notice explaining your renewal options. Your options for renewal may include:

• Remaining with your chosen supplier on a new Time of Use rate
• Going back to PPL Electric Utilities's standard service
• Choosing a different supplier

Did You Know? You can still sign up for budget billing with PPL Electric Utilities while on a Time of Use rate.

How Can I Save Money on a Time of Use Rate?

Follow these tips to save energy and lower your bills on a time of use rate:

• Watch out for heating and cooling costs - they can represent more than 30 percent of an average home's energy bill! Set your thermostat to 78 degrees Fahreinheit for cooling in the summer, and 68 degrees Fahreinheit for heating in the winter
• Check to see if you can benefit from any savings through PPL Electric's e-power rebate program
• Try to shift laundry, dishwashers, and other electrical appliance use to off-peak hours
• Install timers on dehumidifiers, water heaters, pool pumps and other electrical equipment so that they stay off during on-peak periods
• Check out our other energy saving tips for more ideas