Capacity Archives - ElectricityPlans

Pennsylvania Electricity Rates Increase June 2025 – Here’s Why

Pennsylvania is part of the PJM Interconnection, which manages the electric grid for PA and 12 other states. Your electricity bill includes not only energy and delivery costs, but also capacity costs. PA capacity costs incent power generators to maintain sufficient supply on the electric grid during times of peak demand.

In June 2024, the PJM Interconnection held a capacity auction that resulted in pricing 833% higher than the prior year.

The capacity cost increase means a 10-20% increase Pennsylvania residential electricity bills starting in June 2025. Businesses can expect an increase of up to 29%.

Here’s the background, and what you can do to keep your bills under control.

Ohio Electric Rates Increase June 2025 – Here’s Why & What to Do About It

In Ohio, you not only pay for electricity and delivery, you also pay for “capacity” as part of your electricity generation charges.

In June 2024, the PJM Interconnection, which manages the electric grid for Ohio, held a capacity auction that resulted in pricing 833% higher than the prior year.

The capacity cost increase in Ohio means residential customers will see a 10-15% increase in their bills for June 2025 – May 2026, or around 2 cents per kWh. Businesses can expect an increase of up to 29%.

Here’s the background, and what you can do to keep your bills under control.

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