Frequently Asked Questions
There are 3 parts to your electric service: generation, transmission and distribution. With deregulation, these components are separated and you have the right to choose who buy your electricity from. By comparing and shopping for your price per kilowatt, you have a bigger say on how much your bill will be monthly. Your transmission and distribution will stay the same by your local Electric Distribution Company (EDC) but suppliers, such as TriEagle, will be taking over for the retail sales portion of the service.
Until deregulation, your EDC had a monopoly on
your electric service. You had no choice
but to pay the prices set by the EDC.
Due to deregulation, the power is in your hands. Suppliers provide competitive prices,
innovative plans and customer service that lead to a better market geared to
customer satisfaction.
It
includes your energy rate, supplier transmission costs and an estimated Gross
Receipts Tax (GRT). Pay special
attention when comparing supplier prices. Some suppliers are not including GRT
into your price. Since GRT is mandatory,
TriEagle’s price gives a better view of what you will pay a month. No hidden surprises. No pass through charges. You will pay your energy rate times usage plus any applicable taxes (i.e. GRT)
Gross receipts tax is paid by both electric distribution companies and electric generation suppliers on the basis of the company's or the supplier's gross receipts from the sale of electric generation supply within the Commonwealth of Pennsylvania. Electric distribution companies and electric generation suppliers include the GRT as part of the cost of electric generation supply.
By law, the current GRT rate in Pennsylvania for 2012 is 5.90%. However, since the tax is embedded in the cost of electric generation supply, electric distribution companies and electric generation suppliers apply a gross-up factor to determine the amount of GRT that must be paid to Pennsylvania. As a result, electric distribution companies and electric generation suppliers pay GRT to Pennsylvania in the amount of 6.45% on the base price of electric generation supply. This gross-up factor, resulting in a GRT of 6.27%, is calculated by the following formula: 1/1-5.90%.
For example, if an electric distribution company or electric generation supplier charges a customer $100 per month for electric generation supply, application of the 5.90% GRT rate results in an electric generation supply charge of $106.06. Because the electric distribution company or electric generation supplier owes GRT to Pennsylvania on the basis of total gross receipts in the amount of $106.06, it must apply a gross-up factor to the base price of $100. Application of this gross-up factor results in a GRT liability of 6.27%. To recover this full amount from consumers, electric distribution companies or electric generation suppliers must collect $106.27 for electric generation supply.
As a consumer, it is important to understand that even if an electric generation supplier quotes the GRT rate of 5.90%, the electric generation supplier is still obligated to pay Pennsylvania GRT in the amount of 6.27% on the base price of electric generation supply. Consumers should ensure that any GRT rate communicated by electric generation suppliers in offers or price quotes matches the GRT amount that is included in electric generation supply charges on bills.
The above text is quoted from papowerswitch.com
You
will continue to receive a monthly bill from your EDC, just as you always have.
However, there will be a TriEagle
section that shows the price you pay per kilowatt-hour. You still make one electric payment per month
to your EDC. The EDC will then pay
TriEagle on your behalf, also called consolidated billing.
An Electric Distribution Company (EDC) is the company that owns the power lines and equipment necessary to deliver electricity to the customer. Also, called your Default Company if you choose not to switch. TriEagle is currently servicing the PECO, Duquesne and PPL areas. Electric Generation Suppliers (EGS) is your electric retail supplier; such as TriEagle. Your EGS purchases and sells the electricity for customers.
Once
you complete the sign-up process on-line, an e-mail will be sent confirming
your enrollment and contract date. Your
switch will occur 16 ½ days before your next meter read date. If you enroll after the 16 day Pennsylvania
Switch Rule, you will be enrolled at the next meter read date. Please check the e-mail sent, which will
give an approximate switch date for your location.
Your current EDC will continue to deliver your electricity over the same wires and poles but under contract with TriEagle Energy. You will stay pay only one bill a month from your EDC. You will not have to contact anyone about your choice to switch; TriEagle will do all of that for you.
We are certified with the Pennsylvania Utility Commission, # A-2010-2180376. We are also registered with PJM, a Regional Transmission Organization that controls the wholesale electric grid in 13 states including Pennsylvania. In addition, TriEagle has tested and been approved with PPL, PECO & Duquesne to make sure that our systems are compatible. You will find TriEagle listed on all 3 EDC websites and the PA Power to Switch website.
No. Please contact your EDC for more information.