PPL Electric Utilities Reaches Settlement for First Rate Hike Since 2016

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PPL Electric Utilities has submitted a joint petition to the Pennsylvania Public Utility Commission (PUC) requesting approval for an increase in base distribution rates. This would mark the company's first base distribution rate increase since 2016. The proposed adjustment aims to support ongoing investments in a safe, reliable and resilient electric system, while maintaining a strong commitment to customer affordability and service.

Why it matters

The rate increase, if approved, would allow PPL to continue upgrading its infrastructure and enhance support for vulnerable customers in its service area. As a major utility provider, PPL's rates and investments have a significant impact on residential, commercial and industrial customers across eastern and central Pennsylvania.

The details

The settlement includes provisions to strengthen system reliability, improve customer service and affordability, and support vital investments for future growth. Key investments include replacing aging infrastructure, installing grid upgrades, enhancing tree trimming, and expanding smart grid technologies. The settlement also includes measures to help vulnerable customers, such as increasing hardship fund credits, eliminating reconnection fees, and boosting weatherization budgets.

• PPL Electric Utilities submitted the joint petition for non-unanimous settlement on March 13, 2026.
• If approved, the new distribution base rates would go into effect on July 1, 2026.
• PPL Electric Utilities will not increase distribution base rates for two years from the effective date of the new rates.

What’s next

The PUC will review and decide whether to approve PPL's proposed rate increase settlement.