Choosing an Affordable Electricity Service in Pittsburgh PA

by admin on January 27, 2010


You may already be aware that beginning January 2010 your electric bill in Pittsburgh PA may be rising substantially. Now, instead of having one provider that you are forced to use, the market will be deregulated which means that companies will compete for your business. Essentially, you will be able to pick your own provider from these companies, which will result in much cheaper rates for electricity.


One of the biggest problems when switching electricity providers in Pittsburgh PA is the deposit requirements. You may have less than stellar credit, or you may never have established any credit at all. In most instances like these, the competitive energy supplier will likely require a deposit, which can be as much as a combined total of 3 months worth of electric bills.

While having a choice in who provides your electricity is great, Pittsburgh residential customers may have issues when it comes to the deposit. What if you could pay as you go, or sign up with a prepaid electricity provider like cell phone companies offer? This sounds like a good solution, but the end result is not so great. The prepaid electric company will reel you in with a guarantee that $99 will start your service. The catch is that this is normally not for your first months bill; the company will come back and require additional money in order for you to keep your service. These amounts can be substantial, and can be upwards of $300 to $400.

Prepaid electricity may sound like a great deal to you, but your Pittsburgh provider will not base your bill on the electricity you actually used. When the company offering prepaid electricity with no deposit determines your rates, they will base your bill on the usage from last year. Still doesn’t sound like a big deal? Even if you did not live in the Pittsburgh residential home or apartment you currently live in, you will be paying based on someone else’s historic usage. The rates of a prepaid electricity provider are astronomical compared to those of a traditional electricity company.

Determining a way to come up with a big deposit is preferable to signing up with a pay as you go electricity provider in Pittsburgh PA nearly every time. Overall, you save a substantial amount on your monthly electricity charges, and you get your deposit back at the end of the year. While coming up with the deposit may be tough, this gives you the opportunity to demonstrate that you pay your utility bills on a timely basis, and build up a good credit history. Next year when it comes time to sign up for Pennsylvania electricity service again, you may not be required to pay a deposit.


The competitive energy market has set up the market in a way that allows the smaller electric companies to compete for your business, while the companies that have monopolized the market are forced to keep their rates set at a certain price. This way, the smaller Pittsburgh PA electric companies don’t have to worry about being priced out of the market.

The deregulation of electricity means that residents and commercial businesses may be subject to fixed electric rates. In this case, you would be offered a price by the Pittsburgh PA electric service that would remain constant for the term of the contract.

Overall, deregulation in the state of Pennsylvania means the chances of electricity becoming cheaper and more affordable are great. Pittsburgh PA residents will have the opportunity to choose between variable prices and a fixed rate for electricity. Usually, the option for fixed rate terms varies from 1 year to 5 years, so you can choose which you prefer.

Pittsburgh and other cities in the Pennsylvania area will have their electricity markets deregulated, meaning residential and commercial customers will be able to pick a less costly electric provider and save a good deal of money.

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