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Why is PPL's rate higher than other electric suppliers?

Why is PPL's rate higher than other electric suppliers?
OTHER SUPPLIERS. THIS IS A QUESTION WE’RE HEARING FROM MORE VIEWERS AS THEY STRUGGLE WITH HIGH ELECTRIC BILLS. THIS QUESTION FROM A VIEWER NAMED DON WHY CAN ONE PROVIDER SUCH AS PEOPLE OFFER ITS CURRENT PRICING OF $0.14 PER KILOWATT HOUR? AND THE OTHER PROVIDERS THAT ARE AVAILABLE UNDER PAY. POWER SWITCH DOT COM CAN OFFER SERVICE AS MUCH AS $0.10 OR MORE, LESS. WELL, GREAT QUESTION. PEOPLE AS A DEFAULT SUPPLIER ADMITTED PECO. OTHER EXAMPLES OF DEFAULT SUPPLIERS WITHIN THE STATE CODE I FOUND THE OBLIGATIONS OF A DEFAULT PROVIDER FOR ELECTRICITY. SO AS A DEFAULT SUPPLIER DESIGNATED BY THE STATE P IS REQUIRED TO BE ABLE TO PROVIDE POWER TO ALL CUSTOMERS AT ALL TIMES. THEY MUST SECURE A POWER SUPPLY WELL IN ADVANCE OF WHEN IT IS TO BE USED. NOW, CONTRARY TO WHAT MANY PEOPLE BELIEVE, PEOPLE ELECTROCUTED, THESE DOES NOT OWN ANY POWER PLANTS. SO IT HAS TO GO OUT AND PURCHASE IT ON THE OPEN MARKET WELL IN ADVANCE OF WHEN IT’S USED AND IT’S REQUIRED TO PURCHASE A COMBINATION OF SHORT TERM, MID-TERM AND LONG TERM CONTRACTS. ON THE OTHER HAND, THE LOWEST PRICE SUPPLIERS YOU FIND ON A POWER SWITCH CAN BUY AND SELL POWER AS THEY CHOOSE ON THE SPOT MARKET WHEN NO TIME CONSTRAINTS ARE INVOLVED. THEY CAN GET A GREAT DEAL ON A POWER SUPPLY, SELL IT AT A LOWER COST FOR A SHORT TIME AND MAKE A PROFIT, THEN LEAVE THE MARKET IF THEY WANT TO. AND REMEMBER, NONE OF THE DEFAULT SUPPLIERS CARE WHERE YOU GET YOUR POWER. THEY MAKE THEIR MONEY ON TRANSMITTING THE POWER TO YOU AND OPERATING THE ELECTRIC DISTRIBUTION SYSTEM. ALL THE WIRES ABOVE YOUR HEAD. I’M BRIA
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Why is PPL's rate higher than other electric suppliers?
As many PPL customers struggle with high electric bills, a common question that viewers are asking News 8 On Your Side has to do with pricing.Why is PPL charging its current price of 14 cents per kilowatt hour while other providers available through PAPowerSwitch.com can offer a rate that is several cents lower?PPL is a default supplier. Met-Ed and PECO are other examples of default suppliers.The state code outlines the obligations of a default provider.As a default supplier designated by the state, PPL is required to be able to provide power to all customers at all times. It must secure a power supply well in advance of when it's to be used. Contrary to what many people believe, PPL Electric Utilities does not own any power plants. That's why it has to purchase electricity on the open market well in advance of its use. PPL is required to purchase a combination of short-term, mid-term and long-term contracts.On the other hand, the lowest-priced suppliers you find on PAPowerSwitch.com can buy and sell power as they choose on the spot market with no time constraints involved. They can get a great deal on a power supply, sell it at a lower cost and make a profit. And remember, none of the default suppliers care where you get your power.They make their money on transmitting the power to you and operating the electric distribution system.Related video below: How to shop for electric rates

As many PPL customers struggle with high electric bills, a common question that viewers are asking News 8 On Your Side has to do with pricing.

Why is PPL charging its current price of 14 cents per kilowatt hour while other providers available through PAPowerSwitch.com can offer a rate that is several cents lower?

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PPL is a default supplier. Met-Ed and PECO are other examples of default suppliers.

The state code outlines the obligations of a default provider.

As a default supplier designated by the state, PPL is required to be able to provide power to all customers at all times. It must secure a power supply well in advance of when it's to be used.

Contrary to what many people believe, PPL Electric Utilities does not own any power plants. That's why it has to purchase electricity on the open market well in advance of its use. PPL is required to purchase a combination of short-term, mid-term and long-term contracts.

On the other hand, the lowest-priced suppliers you find on PAPowerSwitch.com can buy and sell power as they choose on the spot market with no time constraints involved.

They can get a great deal on a power supply, sell it at a lower cost and make a profit.

And remember, none of the default suppliers care where you get your power.

They make their money on transmitting the power to you and operating the electric distribution system.

Related video below: How to shop for electric rates