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Potomac Electric Power Company

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LAST UPDATED: June 27th, 2019
Potomac Electric Power Company, or Pepco, is an Exelon Company that operates in Maryland and the District of Columbia. Serving a population of 2.3 million, Pepco provides power to 842,000 customers, which is about one-third of all residents who live within Pepco's reach.

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The Good

  • Energy Choice
  • Consistent Variable Rates
  • Efficiency Rebates & and Incentive Programs

Energy Choice

With Energy Choice, customers of Pepco are able to choose their own energy providers from Pepco's list of approved electric generation and transmission providers. This freedom of choice allows proactive customers to shop around for rates and the match that they feel most comfortable with. When choosing an alternate energy supplier, Pepco will remain your energy company. The source of a home's energy will simply change and generation and transmission charges will be paid to that alternate supplier instead, which can, in some cases, provide savings for the customer or utilize an alternative energy source such as wind or solar. For customers who choose not to go with a different provider, Pepco will continue to buy electricity for them, with energy charges in accordance with the Standard Offer Service (SOS) program as dictated by local legislation.

Consistent Variable Rates

While this may sound contradictory, with Pepco, customers receive consistent variable rates, meaning that they do not pay a tiered price based on their energy use, but rather all energy use costs the same amount. Many deregulated energy companies offer customers introductory packages that come with fixed terms and escalating variable rates depending on energy usage. This approach tends to offer customers with high energy use more benefit as once they breach a certain threshold, their energy, in essence, becomes cheaper. With Pepco, a customer's variable rate remains consistent with energy use, which can be great for customers who don't require a lot of energy, and for those who do use a lot of energy, it will often balance itself out.

Efficiency Rebates and Incentive Programs

Pepco offers its customers rebates and incentives for being energy-efficient and utilizing best in-home practices in regards to energy usage. This includes customers who generate their own power, or at least a portion of it (solar). In addition to Pepco's own energy programs that they provide for their customers, they also grant access and clarity on State and Federal programs that are readily available to help save households money when they make what are defined as "smart energy decisions."

The Bad

  • Yearly Deposits
  • No Weekend Support

Yearly Deposits

Pepco does require an undisclosed deposit, that is, in some cases, renewable, as in you will need to refresh your deposit annually. This can be not only burdensome, but without provided transparency as to the amount and the regularity of the required deposits, many customers may feel blind-sided by this hidden fee.

No Weekend Support

While many companies provide 24/7 customer support, Pepco is closed on the weekends. If there is a power outage, it will be addressed, but otherwise customers must wait until the following Monday, or Tuesday, if there is a holiday, to receive replies to even the simplest of queries.

The Bottom Line

For residents of Maryland and Washington D.C., Pepco can be a great choice to satisfy their energy needs. Without salesmen or introductory offers that skyrocket following the initial term, Pepco offers consistent energy pricing, as well as the option to choose your own provider, if you'd prefer to do the legwork instead of have Pepco purchase your energy for you. Customers should ensure they ask questions upfront to understand/avoid hidden fees and deposits.
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