What you need to know about electric choice in Pennsylvania.

Transcription

1 What you need to know about electric choice in Pennsylvania.

2 Inside this handbook: Components of your bill Questions and answers about Electric Choice Consumer protection checklist Energy-saving tips Shopper s worksheet T his handbook describes what Electric Choice is about and explains what you need to know to shop for electricity. Under Pennsylvania law, all electricity customers in the state can choose the company that generates their electricity. This means you can buy your electricity from any number of competing suppliers. That electricity still will be delivered to you over existing wires by PPL Electric Utilities. You can shop by price. You can shop based on your environmental priorities. Or you can shop for a company that offers special services. How will this benefit you? You may save money. Your savings will vary depending on which supplier you choose and on how much electricity you use. This information is part of PPL Electric Utilities effort to help you learn more about Electric Choice and become an informed electricity consumer. PPL Electric Utilities delivers electricity to 1.3 million customers in 29 counties of eastern and central Pennsylvania. 2

3 What are you shopping for? Generation. Electric Choice is easier to understand when you picture the three steps involved in getting electricity to your home or business Generation Many Suppliers Generation: Making electricity. 2. Transmission PPL Electric Utilities 2. Distribution PPL Electric Utilities Transmission: Moving electricity from where it s made to the wires that supply your neighborhood. Distribution: Delivering electricity to your home or business. With Electric Choice, you may shop for the company that makes the electricity you use, just as you shop for other goods and services. Whether or not you choose a new electric generation supplier, you can count on PPL Electric Utilities to continue delivering safe, reliable electric service to your home or business. 3

4 4 Parts of your bill under Electric Choice (This example is for a customer who has selected a new electric generation supplier, and receives one bill from PPL Electric Utilities.*) Distribution Charge: The price for delivering electricity to your home or business. Customer Charge: The monthly charge to cover PPL Electric Utilities basic costs for billing, metering and meter reading. Transition Charge: A charge on every customer s bill to cover an electric utility s transition or stranded costs, as allowed by the Public Utility Commission. These costs are not new; they have always been part of your bill. (Transition costs are those costs a utility would have been able to collect in a regulated environment but will not be able to collect in a competitive environment.) PPL Electric Utilities For: John Doe 100 Main Street Anytown, PA Customer Service 123 Main Street. Anytown, PA FOR YOUR INFORMATION Next meter reading on or about Feb 26 Questions about PRIOR BILLING Total from last bill Payment received Jan Th Balance as of Jan. 29, 1999 Charges for Electric Genera Generation: 700 KWH at.x Transmission: 700 KWH at Total Generation Supplie Charges for Electric Distr Distribution: Customer Charge 700 KWH at.xx cents Transition Charge: 700 KWH at.xx cents Total Electric Distribu Pa. Tax Adjustment S TOTAL ELECTRIC BI

5 Your Customer Number Use when calling or writing Generation Charge: The amount your electric generation supplier charges for making your electricity. 700 KWH at.xx cents per KWH $61.25 ank-you! $0.00 tion Supplier x cents per KWH x.xx.xx cents per KWH xx.xx r Charges $xx.xx ibution Company x.xx per KWH xx.xx per KWH xx.xx tion Company Charges xx.xx urcharge xx.xx LL $xx.xx Transmission Charge: The cost of moving electricity from a generating plant to the PPL Electric Utilities distribution system. When you select an electric generation supplier, that supplier, not PPL Electric Utilities, will bill you for Transmission charges. Pa. Tax Adjustment Surcharge: A surcharge on your total Distribution charges from PPL Electric Utilities, which reflects changes in various state taxes already included in your bill. This surcharge may change periodically. *If you select a two-bill option, you will receive a bill for Generation and Transmission charges from your electric generation supplier, and a separate bill for your Distribution, Customer and Transition charges from PPL Electric Utilities. 5

6 Questions and answers about electric choice Why would I want to shop for electricity? Shopping for an electric generation supplier could save you money, and you may shop for a supplier based on your needs and preferences. Do I have to choose an electricity supplier? No. If you don t choose a supplier, PPL Electric Utilities will supply as well as deliver the electricity to your home or business. What do I need to know to shop? You need your Price to Compare, your monthly electricity use and a list of licensed suppliers serving your area. What is the Price to Compare? This is the price per kilowatt-hour you need to compare offers and potential savings from other electric generation suppliers. It represents PPL Electric Utilities charges for the generation and transmission part of your electric service. For information about your Price to Compare call PPL Electric Utilities. Where can I find my electricity use? You can find it on the front page of your PPL Electric Utilities bill, next to the usage chart. How do I find out who are the suppliers in my area? You can get a list of licensed suppliers from PPL Electric Utilities. You also can call the Pennsylvania Public 6 For more information, call PPL Electric Utilities at , visit our Web site

7 Utility Commission (PUC) toll-free at or visit the Web site at For the prices charged by residential suppliers, call the Office of Consumer Advocate toll-free at or visit their Web site state.pa.us. How much money will I save? That will depend on how much electricity you use, your Price to Compare and the price charged by your supplier. What if I have questions about my bill? You should address your questions to the company that sent you the bill. If you choose a new supplier, you may select the option of receiving one combined bill from PPL Electric Utilities (see pages 4-5). Some suppliers may offer you the choice of getting two bills one from the supplier and one from PPL Electric Utilities or a single bill from the supplier. After I choose a supplier, can I switch again? Yes, You may switch at any time, unless you have agreed to other terms with your supplier. What if my supplier goes out of business or stops serving me? You will not lose your electricity supply. PPL Electric Utilities will immediately resume supplying your electricity. Will my electricity supply be reliable if I switch suppliers? Yes. Reliability and safety are high priorities in Electric Choice. PPL Electric Utilities still is required to maintain a reliable, safe delivery system. Where do I call if my power goes out? For PPL Electric Utilities customers, that toll-free number is (1-800 DIAL PPL). Will PPL Electric Utilities still provide assistance for low-income customers? Yes. Special payment programs for low-income customers will continue. Call toll-free at DIAL-PPL ( ) call the PUC at or call the Office of Consumer Advocate at

8 Consumer Protection Checklist Licensing Electric generation suppliers must be licensed by the PUC. For the current supplier list you may call PPL Electric Utilities, contact the PUC toll-free at (1-888 PUC FACT) or visit the PUC Web site Prices Be sure you understand how prices are calculated. Be sure to ask if the price includes generation, transmission and other charges. Contact the Office of Consumer Advocate for detailed price information at or visit their Web site at Telemarketers You may be contacted by telemarketers. Listen carefully and get all the information you need before you commit to any offer. You may want to use the Shopper s Worksheet on pages 10 and 11 to record the information. Sales contracts Read them carefully and understand all of their terms. Errors? Pay close attention to your bill to be sure it lists the supplier you chose and the price and terms you agreed to. If it doesn t, you might have been switched to a supplier without your permission. (This is called slamming. ) 8

9 Tips for saving money on your electric bill Heating and cooling systems are the largest users of electricity in your home. Seal any air leaks in ducts, and service the unit annually. During warm weather, you can save 3 to 5 percent on your air-conditioning costs for every degree you raise the thermostat. During the winter, you can reduce energy costs by turning down your thermostat. Use low-flow shower heads to save thousands of gallons of hot water each year and reduce your energy costs. Insulation Make sure you have the recommended amount on outside walls and in the attic. Major appliances Buy high-efficiency models, and service them regularly. Look for the yellow Energy Guide label on new appliances. 9

10 Shopper s worksheet Your Price to Compare * Use this section while shopping to ask questions and record information you get from electric generation suppliers. Supplier Name Date of Talked to Total Price Incentive Est. Savings Call Generation Transmission Other Bonus on Total Bill Sample : May 1st John Doe 3.5 cents/ 0.5 cents/ 0.2 cents/ None 10% XYZ Company kwh kwh kwh 10 *The Price to Compare represents PPL Electric Utilities charges for generation and transmission services. Use the price to compare to decide whether or not an offer from an electric generation supplier will save you money. To help you determine your Price to Compare, use PPL Electric Utilities Price to Compare brochure.

11 1 or 2 Bill Contract Minimum Energy Used to Community Notes Option Required Term** Produce Electricity Record Both Yes 1 year Coal, oil, gas, Education Will send more available days nuclear, renewable programs information in 7 **Your Price to Compare will change each year on Jan. 1. You may want to consider that when you shop for an electric generation supplier. 11

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