AEP Ohio's residential "Price to Compare" for 2024 varies by billing period. These are the rates customers pay for the generation portion of their electricity bill if they do not choose an alternative supplier.
AEP Ohio 2024 Electricity Rates (Price to Compare)
For 2024, AEP Ohio's Price to Compare has been set at different rates throughout the year, reflecting market conditions and regulatory adjustments. Understanding these rates is crucial for AEP Ohio customers to know their energy costs.
The following table details the Price to Compare for residential customers for various billing cycles within 2024:
| Effective Date | Price to Compare (per kWh) |
|---|---|
| July 1, 2024 - September 30, 2024 | 7.70¢ |
| June 1, 2024 - June 30, 2024 | 7.68¢ |
| April 1, 2024 - May 31, 2024 | 11.32¢ |
| January 1, 2024 - March 31, 2024 | 11.32¢ |
Understanding the Price to Compare
The Price to Compare (PTC) is the benchmark rate used by the utility (AEP Ohio, in this case) for the generation and transmission of electricity. It's the default rate for customers who do not select a competitive electricity supplier. This rate does not include charges for distribution or other services, which are set by the utility and approved by the Public Utilities Commission of Ohio (PUCO).
Key aspects of the Price to Compare:
- Variable Rates: As seen in the table, the PTC is not static throughout the year; it changes quarterly or bi-monthly based on auctions and market forecasts.
- Component of Your Bill: Your total electricity bill consists of multiple charges, including generation (the PTC), transmission, distribution, and other riders. The PTC specifically refers to the generation portion.
- Shopping Baseline: The PTC serves as a crucial reference point for customers considering switching to an alternative electricity supplier. If a competitive supplier offers a rate lower than the PTC, it could potentially save the customer money on the generation portion of their bill.
Customers on AEP Ohio's standard service offer pay the Price to Compare for their electricity supply. Those who have chosen a competitive supplier will pay their contracted rate with that supplier for the generation component, while still receiving distribution services from AEP Ohio.
