Lawmakers Warn Rate Hike Could Strain Household Budgets

Electricity post
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HARRISBURG, PA — Proposed increases to electric and natural gas bills could raise monthly costs for southeastern Pennsylvania households by more than $30, prompting state lawmakers to urge regulators to reject the request.

What This Means for You

  • Electric bills could rise by about $20 per month and gas bills by $14
  • Lawmakers say the increase would add pressure to already tight household budgets
  • Public hearings may be held locally if regulators move forward

Members of the Pennsylvania House Democratic Southeast Delegation sent a letter this week to the Pennsylvania Public Utility Commission opposing a rate increase request filed by PECO.

Proposed Rate Increases

According to the filing, the average residential customer would see an increase of $20.08 per month for electricity and $14.52 per month for natural gas if the request is approved.

Lawmakers said this would mark the third rate increase since 2022, raising concerns about cumulative costs for residents and small businesses.

“Many of those who live and work in Southeast counties are concerned about the significant financial hardships that the proposed rate increase would create,” the delegation wrote.

Concerns Over Who Pays

In their letter, lawmakers argued that the proposed increases could shift costs onto residential customers and small businesses while benefiting large commercial users.

They pointed to rising demand from energy-intensive data centers as one factor cited by the utility, but said those costs should not be passed on to everyday ratepayers.

“As duly elected representatives of our constituents, we firmly disagree that residential customers and small business owners should bear the cost of large, for-profit, high energy-using data centers,” the letter states.

Utility Justifications

PECO has cited rising electricity supply costs — reported as increasing by as much as 400% — as a driver behind the proposed rate hike.

Lawmakers acknowledged infrastructure and supply challenges but questioned whether another increase is necessary, particularly following recent financial gains by the company.

The letter notes that PECO reported net income of $814 million in 2025, a 47.7% increase from the previous year.

Call for Public Input

In addition to opposing the increase, the delegation requested that the Public Utility Commission hold four public hearings, one in each of the region’s collar counties: Bucks, Chester, Delaware, and Montgomery.

“Holding local hearings will allow for greater accessibility and transparency for our constituents, who deserve to be a part of this process,” the lawmakers wrote.

What Happens Next

The Public Utility Commission will review PECO’s request and determine whether to approve, modify, or reject the proposed rate increases.

If approved, the higher rates would take effect next year.

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