Costs for Electricity in Maryland to Decrease June 1, 2010
Thursday, January 21, 2010
Maryland Customers to Receive Lower Energy Rates for Standard Offer Service
WASHINGTON – Pepco is announcing that beginning June 1, 2010 the cost for Standard Offer Service (SOS) electricity will decrease by 2.2 percent for residential Maryland customers. The reduction in the cost of electricity translates into a savings of $3.37 on the average monthly bill. This decrease in the cost of electricity is the result of competitive bids to supply electricity.
Under deregulation, Maryland’s bidding process requires Pepco to solicit a series of two-year contracts twice a year. Each contract covers approximately 25 percent of the anticipated amount of the electricity required to meet the needs of Pepco’s customers. Due to this procedure, a quarter of the current contracts will expire in May 2010, to be replaced by new, lower-priced contracts that were recently bid.
“Pepco seeks to secure the lowest prices possible for our customers,” said Thomas H. Graham, President, Pepco Region. “The Maryland bidding process is designed to protect consumers from major price fluctuations in the cost of generating electricity. Pepco remains committed to providing safe and reliable electric service to our customers along with low cost, no cost ways to save energy and money.”
Graham recommends that Pepco customers continue to take aggressive steps to conserve energy and save money during the winter heating season by implementing the following tips:
- Sign up for Budget Billing that allows customers to spread their energy costs evenly throughout the year to avoid the sudden spikes caused by heavy usage;
- Use My Account, found at www.pepco.com, a Web tool that allows customers to find ways to save energy and money with an easy online home energy audit. Customers can compare and analyze bills and see where their dollars go;
- If customers are behind in paying their energy bills, contact Pepco immediately to work out a payment plan.
Pepco customers can find more energy saving tips and the new rates by visiting www.pepco.com.
Pepco, a subsidiary of Pepco Holdings, Inc. (NYSE: POM), delivers safe, reliable and affordable electric service to more than 750,000 customers in Maryland and the District of Columbia.