PECO Proposes Rate Hike

PECO is seeking to increase the rates charged to customers for electricity by about 2.2 percent in order to pay for enhancements to the company's system and various services, the company announced in a filing made with the Pennsylvania Public Utility Commission on Thursday. In a separate filing Thursday, PECO also requested approval of a plan that would return federal tax revenue to customers, offsetting much of the price increase.

Under the new rate, the monthly bill for an average customer - who uses about 700 kilowatt of electricity per month would increase about $3.28.

The new rates, if approved, would go into effect on Jan. 1, 2019.

The increased revenue would result in around $82 million, which would go towards several initiatives, including upgrades to existing infrastructure, technology, distribution services, protection against weather hazards, online and mobile tools for customers, and more.

PECO also hopes to use the funds to "encourage economic development and environmental stewardship," though they were not designate how these goals specifically would be achieved.

The second filing made by PECO on Thursday asks the Public Utility Commission to pass federal funds gained in the 2017 Tax Cuts and Jobs Act onto PECO Customers. Those savings total about $68 million, so if approved, they would offset much of the $82 million requested price increase.

Small businesses would face an increase of an average of $11.06 per month, while large businesses would increase about $168.99 per month. These increases could also potentially also be largely offset by the tax plan.

PUC has not stated when they will decide these matters.

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