PEPCO typically files its rate proposals in early March prior to the summer rate change on June 1st. However, navigating through these byzantine tariffs can be challenging. This post details PEPCO’s anticipated electric rates for Washington DC customers from the 2024 PEPCO Rate Filings, that was issued on March 1, 2024 in an easy to read format that will help ratepayers budget for future expenses and select competitive third party supplier rates.
Below details are fundamental to understanding your monthly electric bill:
- There are two different types of charges: electric supply and electric distribution. In deregulated states, consumers can choose their electric supplier, but distribution services are always performed by the utility company
- Supply Charges represent the cost to produce energy at power plants (generation): and transmission charges, which represent the cost to deliver the energy to the local distribution system. The “Rate to Compare” is a combination of the generation charge + transmission charge + admin charge, which is the rate you typically receive from third party suppliers.
- Distribution charge: delivering of electricity to consumers
- Customer charge: fixed monthly charge for all customers that is dependent on rate class.
Table 1: Table displaying relevant rate classes (“Schedule”) and the past, current, and expected PEPCO generation and transmission price fluctuation from June 2023- May 2025. Established summer and winter distribution prices for each rate class are displayed as well. All rates are the price per kilowatt-hour (kWh).
Graph 1: Graph displaying and comparing relevant rate classes and the past, current, and expected PEPCO generation and transmission price fluctuation from June 2023- May 2025. Distribution charges are not included in this pricing.
Graph 1 shows that most of the commercial rate classes, MGT LV, GS LV, and GT LV, are expected to gradually decrease between now and winter 24-25 (note that MGT LV and GT LV classes have identical rates and both show as the magenta colored line on the chart). Conversely, residential classes, R and MMA, can anticipate steady increases until winter 24-25, where they eventually exceed the MGT LV and GT LV classes. GS LV ND closely follows the trajectory of the residential classes.
Schedule: “MMA”
Applicable for: master-metered apartment buildings where the use is predominantly residential and not for retail business establishments.
Customer Charge: $2.24/month (variable charge dependent on number of units, size of units, and interconnection cost to local grid)
Projected Change Now – Winter 24-25: 11.59%
Graph 2: Graph displaying MMA class generation and transmission charges from summer 2023 to winter 24-25.
Schedule: “R”
Applicable for: individual residences and in individually metered dwelling units in multi-family buildings.
Customer Charge: $16.09/monthProjected Change Now – Winter 24-25: 12.32%
Graph 3: Graph displaying R class generation and transmission charges from summer 2023 to winter 24-25.
Schedule: “MGT LV”
Applicable for: small commercial customers whose maximum thirty minute demand is equal to or in excess of one hundred kilowatts during two or more billing months within twelve consecutive billing months.
Customer Charge: $237.00/month
Projected Change Now – Winter 24-25: -17.16%
Graph 4: Graph displaying MGT LV class generation and transmission charges from summer 2023 to winter 24-25.
Schedule: “GS LV”
Applicable for: midsize to large commercial ratepayers
Customer Charge: $38.75/monthProjected Change Now – Winter 24-25: -15.47%
Graph 5: Graph displaying GS LV class generation and transmission charges from summer 2023 to winter 24-25.
Schedule: “GT LV”
Applicable for: large commercial customers whose maximum thirty minute demand equals or exceeds one thousand kilowatts during two or more billing months within twelve consecutive billing months.
Customer Charge: $1908.28/monthProjected Change Now – Winter 24-25: -17.16%
Graph 6: Graph displaying GT LV class generation and transmission charges from summer 2023 to winter 24-25.
Schedule: “GS LV ND”
Applicable for: customers whose maximum monthly demand is less than 25 kW.
Customer Charge: $32.88Projected Change Now – Winter 24-25: 14.12%
Graph 7: Graph displaying GS LV ND class generation and transmission charges from summer 2023 to winter 24-25.
Total Cost per kWh Seasonal Comparison Among Classes
Chart 1: Chart displaying and comparing relevant rate classes during summer 2023 time period. PEPCO generation, transmission, and distribution charges are included in each rate.
Chart 2: Chart displaying and comparing relevant rate classes during winter 2023-24 time period. PEPCO generation, transmission, and distribution charges are included in each rate.
Chart 3: Chart displaying and comparing relevant rate classes during summer 2024 time period. PEPCO generation, transmission, and distribution charges are included in each rate.
Chart 4: Chart displaying and comparing relevant rate classes during winter 2024-25 time period. PEPCO generation, transmission, and distribution charges are included in each rate.
