Milford. Pike County Light & Power announces electric rate decrease

Customers of Pike County Light & Power (PCLP) customers will see a drop in their electric bill effective June 1, 2023.

Company president Michael I. German announced an almost 43% reduction in the utility’s default service charge (DSC) for SC 1 residential and SC 2 general service customers.

“With wholesale electric costs falling, PLCP has reacted quickly to reduce its default service charge,” German said. “Customers should see the reduced rate in their July bills.”

Utility bills are comprised of two primary rates: the demand or delivery charge, and the default service or supply charge. The demand charge covers the costs associated with installing, upgrading, and maintaining electric infrastructure, and is approved by the Pennsylvania Utility Commission (PUC) which governs all utilities within the Commonwealth. The default service charge denotes the actual purchase price of electricity.

Beginning June 1, PCLP’s residential default service charge will decrease from 12.7610¢/kWh to 7.3005¢/kWh, a reduction of 42.79%. Though the delivery component will remain unchanged, a customer using 1000 kWh of electricity per month would realize a reduction from $226.09 to $174.49, a $51.60 decrease and 22.8% overall decline.

Customers should benefit from the reduced rate in their July bills, just in time for increased electric demand in the summer heat.

To further reduce electric costs, PCLP is studying purchasing its electric supply from the PJM grid, rather than the NYISO. If successful, this years-long project will likely provide long-term savings for customers and improve reliability.