1. Match your address and utility

Start with your service ZIP code and the delivery utility printed on your bill. A ZIP code can cross utility boundaries. Choose your residential or business account type before comparing offers. The state guides link to the appropriate market; supplier choice is not available for every account in every state.

2. Write down the right baseline

Record your monthly kWh, current supply price, recurring supplier fees, and contract end date. Keep delivery charges separate when comparing supply-only offers. If you already use a supplier, compare against that contract as well as the utility’s default supply option. A budget-billing payment is not a per-kWh supply rate.

3. Calculate the cost at more than one usage level

For a simple supply-only offer: monthly supply cost = kWh × (cents per kWh ÷ 100) + monthly supplier fee. Add any other applicable offer charges. Use the plan’s full pricing formula if it has usage tiers or conditional bill credits.

  • Example Plan A: 10¢/kWh plus a $9 monthly fee.
  • Example Plan B: 11¢/kWh with no monthly fee.
  • At 500 kWh: A costs $59; B costs $55.
  • At 1,500 kWh: A costs $159; B costs $165.

These invented plans cost the same at 900 kWh. The lower advertised rate becomes cheaper only above that usage in this example. These are supply costs, excluding delivery and taxes. Repeat the calculation using a low-use month and a heating or cooling month from your own bills.

4. Compare the same period

A three-month introductory rate is not a twelve-month savings guarantee. Calculate known costs for the period the price is actually offered. Include enrollment fees once, recurring fees for every month, and any cost to leave your current plan. Treat future variable prices and future utility benchmarks as unknowns.

5. Read the offer documents

Save the price, pricing type, term, effective date, eligibility restrictions, cancellation terms, and renewal terms. Pennsylvania’s official contract-summary guide explains what its supplier documents disclose. Other states use their own requirements; use your state’s official resources.

6. Verify before enrolling

Open the supplier’s current offer and confirm that its final terms match your comparison. If the total cost is higher, keeping your current arrangement can be the better choice. After an enrollment takes effect, check the supplier and price on your first bill. Keep the confirmation and set a renewal reminder.

Ready to use your own numbers? Compare rates by ZIP, or learn when switching costs can outweigh savings.

Guide reviewed by Choose My Electric on . Examples are illustrative; verify current offers and terms with the linked official sources. Send a correction.