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Harrisburg, Pa. - PPL customers will have to pay 30 percent more for electricity at the end of the year if they buy their power from PPL, but there are other companies waiting in the wings that will be cheaper.
Like most people, Gayle Staub of Lower Paxton Township, has heard about the 30 percent hike.
"That is a huge jump," said Staub. "If you're used to your bills being X-amount a month and then a 30 percent increase, that is a lot."
That's why a letter from Dominion Energy caught Staub's eye. Dominion is offering to sell her power that's guaranteed to be 10 percent less than what PPL will charge after the end of the year. More companies are expected to make a pitch to PPL customers next week.
PPL is urging its customers to shop around for a better rate because the state does not allow PPL to make a profit selling electricity anyway. The company only makes a profit on distributing the power through its lines and equipment.
"We encourage our customers to shop," said Jim Nulton of PPL. "It's not a matter of loyalty. We've been glad to have a good relationship with our customers all these years. The configuration of utilities has changed."
Even if a PPL customer chooses another electric generator, the monthly billing will still come through PPL and PPL will still maintain the electric lines and equipment.
The Public Utility Commission urged consumers to avoid the 30 percent rate hike. "There's no reason to pay that," said PUC Chairman James Cawley. "There are going to be at least two major alternative suppliers offering at least a 10 percent discount."
Met-Ed customers won't see rate caps come off until the end of 2010.
The PUC website has more on the changes in electric utilities at its Web site,
www.puc.state.pa.us.
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