As expected electricity rates will increase on June 1, 2013 for the majority of PSEG customers who have not shopped for alternative energy suppliers and paying the basic generation service charge for their power. PSEG charges default electric rates to its customers who do not take the time to shop for competitive electricity rates. These default rates have a summer period from June through September, and a winter period from October through May. Historically the summer rates have been higher than the winter months for default rate paying customers living in the PSEG service area.
Customers who are currently on competitive fixed electric rate contracts, or those who choose a competitive supplier with a lower electricity rate than the PSEG BGS default rate, will not have to worry about the increase. Electricity shopping, though going at a slow pace, is picking up in the PSEG territory as more than 13% of households are now purchasing their power supply from energy companies other than PSEG. This number was below 4% just one year ago. Competitive electricity rates have been the primary catalyst for the pickup in energy sales in the New Jersey competitive energy market.
Starting in June PSEG residential customers who have not selected a competitive energy supplier will pay $0.113105 for the first 600 KWh consumed during the month and $0.12264 for every KWh above 600 KWh. The average 3 bedroom, 2 bathroom house uses about 1200 KWh in the summer making the average electricity rate for PSEG customers in the summer of 2013 $0.1176. Competitive PSEG electricity rates can be found below that can help save consumers money on their PSEG electric bill.