Enter your zip code to instantly compare Maryland electricity rates and energy plans.
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By Thad Warren
This section highlights the average Maryland electricity rates for residential and commercial customers.
For businesses of all sizes – from small businesses to enterprise-level, the Maryland deregulated market has enabled competition. Today, every business has the ability to compare energy plans from top energy suppliers and shop for the best rate available.
In most cases, businesses will be able to effectively manage and/or reduce their monthly electricity costs by switching energy plans and providers every year.
Maryland’s energy market is deregulated, allowing customers to choose their electricity supplier. This deregulation was established in 1999 and has introduced competition into the energy market, encouraging retail suppliers to offer the best electricity rates and plans. Customers in Maryland have the opportunity to save on their energy costs by shopping strategically and comparing plans. By taking advantage of the competitive energy market, consumers can find energy plans that best suit their needs and budget.
Deregulation in Maryland has led to a more competitive energy market, with multiple energy suppliers offering a range of plans and rates. This competition has driven down prices and given customers more control over their energy costs. The Maryland Public Service Commission regulates public utilities and provides oversight in the deregulated market, ensuring that customers have access to reliable and affordable energy. This regulatory body plays a crucial role in maintaining fair practices and protecting consumer interests in the energy market.
Maryland energy providers offer various types of plans to suit different needs and preferences. Understanding the different types of plans is essential for making an informed decision. Whether you are looking for budget certainty, flexibility, or renewable energy options, there is a plan available to meet your needs.
Fixed-rate plans offer a single rate per kWh for your entire contract term. This type of plan provides budget certainty and protection against price hikes. Fixed-rate plans are ideal for customers who want to lock in a low rate and avoid unexpected price increases. With a fixed-rate plan, you can enjoy predictable energy bills and avoid the risk of price volatility.
In addition to fixed-rate plans, Maryland energy providers also offer variable-rate plans, indexed plans, time-of-use plans, and green energy plans. Each type of plan has its unique features and benefits, and customers can choose the one that best suits their energy needs and preferences.
By understanding the different types of energy plans available in Maryland, customers can make informed decisions and choose the plan that best meets their needs. Whether you’re looking for budget certainty, flexibility, or renewable energy options, there’s a plan available in Maryland’s deregulated energy market.
The Maryland Public Service Commission, known as PSC, is an independent administrative agency within the state government which regulates public utilities. In other states, this agency is usually called a Public Utility Commission.
The PSC affects every household and business in Maryland. The PSC regulates providers of all types of utility services, including electric and natural gas companies, local and long-distance telephone companies, water and wastewater companies, and rail and trucking companies. The PSC was created to assure Maryland residents receive adequate, safe, and reliable public utility services – at a fair price.
Utilities are the entities in charge of the operation and maintenance of the energy infrastructure, like wires and towers. The local utilities in Maryland are BGE, Pepco, Delmarva, Potamac Edison, Choptank, and SMECO. Each utility is responsible for transporting electricity from the generators to residential homes and businesses in their specific region of Maryland.
Energy providers in Maryland, including AEP, Constellation, and Direct Energy are the competitive energy providers. Each energy provider buys energy from the wholesale market (the generators) and then re-sells it to consumers (homeowners, renters, and businesses).
In most cases, the energy consumer – the homeowner, renter, or business – signs a contract with an energy provider for a specific energy plan. The basic energy plan details the rate class, the energy rate per kWh, the contract term length (6, 12, 24, 36 months), and other contract terms like the cancellation fee policy.
Maryland is home to over 581,712 small businesses in a wide variety of industries and categories. Small businesses also make up 99.5% of the total businesses in Maryland with the remaining .5% being large or enterprise level companies.
As of the latest SUSB census, Maryland small businesses employed over 1 million people representing 50.2% of the total employees in Maryland.
