What You’ll Find on This Page
- Current residential electricity rates for every major utility in PA, NJ, and DE
- How rates compare across utilities and states
- What is driving the rate increases across the region
- How often rates change and what to expect going forward
- How solar compares to current electricity costs in each service territory
Introduction
Electricity rates across Pennsylvania, New Jersey, and Delaware have increased significantly since 2024, and the trend is not reversing. If you live in the three-state region and have noticed your electric bill climbing, you are not alone. Every major utility in the area has passed through higher costs driven by the PJM capacity market, distribution infrastructure investments, and evolving regulatory requirements.
This page tracks the current residential all-in electricity rates for every major utility in the Sunwise service area. We update it quarterly to reflect rate changes, new capacity cost phase-ins, and distribution rate adjustments. Bookmark it and check back when your bill changes.
A note on what “all-in rate” means: the rates listed below represent the total cost per kilowatt-hour that a residential customer pays, including supply (generation), transmission, distribution, and all applicable riders and surcharges. This is the number that matters for comparing your electricity cost to the cost of solar production.
Pennsylvania Electricity Rates by Utility (2026)
Pennsylvania is a deregulated electricity market, which means residential customers can choose a competitive supplier for the generation portion of their bill. The rates below reflect the default service rates for customers who have not switched suppliers.
PECO Energy
Service area: Philadelphia and surrounding southeastern Pennsylvania counties (Bucks, Chester, Delaware, Montgomery, York) Approximate all-in residential rate: ~20 cents per kWh Recent trend: Up over 20 percent since early 2025 Key driver: PJM capacity cost phase-ins through 2026, plus a 10 percent distribution rate increase approved in late 2024
→ PECO Electricity Rates in 2026
PPL Electric Utilities
Service area: Central and eastern Pennsylvania (Lehigh Valley, Lancaster, Harrisburg, Scranton/Wilkes-Barre) Approximate all-in residential rate: ~19-20 cents per kWh Recent trend: Increasing, driven by PJM capacity costs Key driver: Same regional PJM dynamics affecting all PA utilities
Met-Ed (FirstEnergy)
Service area: Eastern Pennsylvania (Reading, Allentown fringe areas, parts of the Lehigh Valley and Poconos) Approximate all-in residential rate: ~19 cents per kWh Recent trend: Increasing in line with regional PJM capacity cost pass-throughs Key driver: FirstEnergy subsidiaries across PA are all absorbing the same wholesale cost increases
Penelec (FirstEnergy)
Service area: Northern and western Pennsylvania (Erie, State College, Williamsport) Approximate all-in residential rate: ~21 cents per kWh Recent trend: Increasing Key driver: PJM capacity costs, plus Penelec’s distribution territory includes areas with older infrastructure requiring ongoing investment
Duquesne Light
Service area: Pittsburgh metro area and Allegheny County Approximate all-in residential rate: ~20 cents per kWh Recent trend: Increasing in line with regional dynamics Key driver: PJM capacity costs, plus ongoing infrastructure modernization investments in the Pittsburgh service territory
New Jersey Electricity Rates by Utility (2026)
New Jersey is also a deregulated market. Supply rates are set annually through the Basic Generation Service (BGS) auction. The rates below reflect BGS default rates for residential customers.
PSE&G (Public Service Electric and Gas)
Service area: Northern and central New Jersey (Newark, Jersey City, New Brunswick, much of the state’s population center) Approximate all-in residential rate: ~26 cents per kWh Recent trend: Up 17.24 percent in 2025, with minor adjustments in 2026 Key driver: 2025 BGS auction results reflecting PJM capacity cost surge, plus distribution rate increases
JCP&L (Jersey Central Power & Light, FirstEnergy)
Service area: Central New Jersey (Monmouth, Ocean, Hunterdon, parts of Morris and Somerset) Approximate all-in residential rate: ~20 cents per kWh Recent trend: Up 20.20 percent in 2025, the steepest increase of any NJ utility Key driver: BGS auction results, PJM capacity costs
Atlantic City Electric (ACE)
Service area: Southern New Jersey (Atlantic, Cape May, Cumberland, Salem, parts of Burlington, Camden, Gloucester) Approximate all-in residential rate: ~27-30 cents per kWh Recent trend: Up 17.23 percent in 2025 Key driver: BGS auction results, distribution costs in a geographically dispersed service territory
Rockland Electric
Service area: Small portion of northern New Jersey (Bergen and Passaic counties) Approximate all-in residential rate: Similar to PSE&G range Recent trend: Up 18.18 percent in 2025 Key driver: BGS auction results
Delaware Electricity Rates by Utility (2026)
Delaware’s electricity market structure is different from PA and NJ. The state’s largest utility, Delmarva Power, serves most of the population. Delaware Electric Cooperative and several DEMEC municipal utilities serve the rest.
Delmarva Power
Service area: Most of Delaware, particularly New Castle County and the Wilmington metro area Approximate all-in residential rate: ~20 cents per kWh (varies by rate class and usage tier) Recent trend: Increasing, driven by the same PJM capacity dynamics affecting PA and NJ Key driver: PJM wholesale costs, distribution rate adjustments
Delaware Electric Cooperative (DEC)
Service area: Kent and Sussex counties (central and southern Delaware) Approximate all-in residential rate: Comparable to Delmarva; cooperative rate structures may differ Recent trend: Increasing Key driver: PJM wholesale costs passed through cooperative rate structure
DEMEC Municipal Utilities
Service area: Newark, Milford, Lewes, Middletown, Smyrna, Dover, and other municipal service areas Approximate all-in residential rate: Varies by municipality; generally competitive with Delmarva Recent trend: Mixed; some municipal utilities have been slower to pass through capacity costs Key driver: Individual municipal rate-setting processes
Why Rates Are Rising Across the Entire Region
Every utility listed on this page operates within the PJM Interconnection footprint. PJM is the regional grid operator that manages electricity supply for 13 states plus Washington, D.C. The most significant driver of recent rate increases is the PJM capacity market, where wholesale capacity prices surged over 800 percent in the most recent auction cycle.
The key factors behind the surge: rapid growth in electricity demand from data centers being built across the PJM region; retirement of older coal and gas power plants without sufficient replacement generation; a backlogged interconnection queue that has delayed new power projects from connecting to the grid; and new reliability rules that reduced the effective supply counted as available during peak demand.
These are structural conditions, not temporary market disruptions. PJM has acknowledged that demand growth is outpacing supply additions, and the most recent capacity auction hit its price cap. For residential customers across PA, NJ, and DE, the practical implication is that rates are expected to remain elevated and are unlikely to return to pre-2024 levels.
How Solar Compares to Current Rates
The rates on this page represent what you pay per kilowatt-hour for electricity from the grid. When you install solar, the cost of the electricity your system produces is determined by the system price, locked in on the day of installation, and does not change for the life of the system.
In every utility service territory listed above, the current all-in residential rate is higher than the effective cost per kilowatt-hour of solar electricity over a 25-year system lifespan. That spread between grid electricity cost and solar electricity cost is what drives the financial case for solar. And every time your utility passes through another rate increase, that spread gets wider.
The highest-rate territories in the region (ACE, PSE&G, PECO) offer the strongest immediate solar economics because the avoided-cost value per kilowatt-hour is greatest. But solar is financially viable across the entire service area at current rate levels.
→ Solar Incentives in Delaware
See What Solar Costs vs. Your Current Rate
Sunwise Energy serves homeowners and businesses across PA, NJ, and DE. If you want to see how the cost of solar compares to what you are currently paying your utility, our team can put together a personalized analysis based on your actual rate, usage, and roof.
Electricity Rate FAQs
Which utility has the highest electricity rates in PA, NJ, and DE?
As of early 2026, the highest residential all-in rates in the region are found in New Jersey, with PSE&G averaging approximately 26 cents per kWh and Atlantic City Electric in the 27 to 30 cent range. In Pennsylvania, PECO averages approximately 20 cents per kWh. In Delaware, Delmarva Power residential rates are in a comparable range. Rates vary by usage tier, rate class, and seasonal adjustments.
Why are electricity rates different between utilities?
Each utility has its own supply procurement process, distribution infrastructure, and regulatory rate structure. Supply charges are driven by wholesale electricity markets and utility-specific procurement auctions (BGS in NJ, default service in PA). Distribution charges reflect each utility’s infrastructure costs and maintenance needs. The combination of these factors produces different total rates even within the same state.
Why did electricity rates increase so much in 2025 and 2026?
he primary driver was the PJM capacity market auction, where wholesale capacity prices surged over 800 percent in the 2024 auction. This increase was caused by growing electricity demand from data centers, retirement of coal and gas power plants, new reliability rules, and a backlogged queue for connecting new generation to the grid. Utilities are required to pass these capacity costs through to customers.
How often do electricity rates change?
Supply rates (the generation and transmission portion of your bill) typically change on a set schedule. In New Jersey, BGS rates are set annually. In Pennsylvania, default service rates change quarterly for most utilities. Distribution rates change when utilities file and receive approval for rate cases, which can happen every few years. PJM capacity costs phase in on a schedule set by each utility.
