Procurement and Energy News

Special Update on Expiring Pennsylvania Electric Rate Caps

Focus Areas

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Customer Experiences

Electric rate caps in Pennsylvania expire for PPL customer January 1, 2010 and for Met-Ed, PECO, and Pennelec customers January 1, 2011. While the electric generation market prices are volatile, they have increased significantly since the rate caps were put in place in 1997.

Click here for more information on the PPL rate cap expiration January 1, 2010.

Click here for more information on rate caps expiring January 1, 2011.

Electricity/Energy (Third Quarter 2010)

Energy commodity prices continue their volatile trends of the past few years. We are presently enjoying a six to seven year market low. Crude oil has been trading in the $70 to $85 range, most recently in the low $70s. Natural gas prompt prices traded in the $4 to $5 range all spring, on the higher end June 1.

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Natural Gas (Third Quarter 2010)

As we entered the summer season, the first day was hot, the next day was hotter and today, the third day is forecasted to be the hottest yet. Next January’s future price has been bouncing up and down in the mid to high $5/dth area since leaving the $6 level on March 3rd. The hot temperatures plus tropical wave blotches entering the National Hurricane center’s Caribbean map have moved the center of January’s future price oscillations closer to, but not above $6 yet.

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