The Rising Cost of Electricity: PA Edition

It’s summertime in Pennsylvania and you know what that means. 😎 Time to bust out the boombox and cue up The Fresh Prince & DJ Jazzy Jeff! 📻🎶 Hey roll up those windows, pal. The AC’s on. 

If your monthly electricity bill has been…shocking lately, you’re not alone. 😰 Keep reading to learn why costs in the Keystone State are on the rise.

 

Here’s Five Fast Facts on electricity costs in PA:

  1. 📈 Take a Hike - Electric bills across the country are in hike mode, and PA’s getting pelted with golf ball-sized hail. So far in 2025, the average monthly bill went up by 10%, or $13.58. In 2026, they’re expected to creep up by another $2.70 a month. Some parts of the state experienced a 30% increase since new rates went into place at the end of 2024.
  1. ⚡ Off the Grid - Did you know PA’s the largest exporter of electricity in the nation? And that’s also one of the reasons bills are so high. Through what’s called a “capacity auction,” electric suppliers bid on jobs to provide infrastructure support for future demand. For 2025-2026, prices at the auction were a whopping 800% higher than the previous year. We’re talking multi-billions in projected additional costs.
  1. ♨️ Chat, Are We Cooked? - in 2024, the country’s demand for electricity went up by 3%. That trend is expected to continue, thanks to a major rise in data centers. Increases in AI apps, file storage, and sports betting are all driving up demand. Fun fact: PA is on the same grid as Virginia, which is home to roughly a quarter of all data centers in the U.S.
  1. 🪫 Aging Out - While demand is on the rise, supply is on the decline. PA’s grid is full of older plants that aren’t as powerful (or profitable). The process of replacing the old plants powered by solar or battery has been a slow one. On top of that, replacing old infrastructure is super-costly, and those costs get passed down to energy customers.
  1. 🔌 Power Plan - So what’s being done? Back at the end of 2024, Gov. Shapiro filed a legal complaint with PJM, the company that manages PA’s electric grid. The resulting settlement would reduce PJM’s price caps by 35%, hopefully passing savings down to regular consumers. 

🔥Bottom line: The settlement to reduce prices is a good step, but only a temporary one. Outdated power plants and soaring data center demand continue to roll on. Sky high utilities, groceries, and…everything else got you spun out? Money stress is no joke…although laughter is truly the best medicine. If you’re not up for joking about financial anxiety, go to this article where we offer five hot tips to find your zen. 

How much has your electricity bill gone up this year?

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