In most of the U.S. you can't shop for electricity. In a growing number of areas, you actually can — and the difference matters more than most people realize.
Delivery and supply are separate things in a deregulated market
In a deregulated market, your local utility (like PECO, PPL, or CenterPoint Energy) continues delivering electricity through its poles and wires — that part isn't optional or shoppable. What is shoppable is the supply/generation portion: you can choose a competitive retail electricity provider instead of accepting the utility's default supply rate.
Where this actually applies
Parts of Texas, Pennsylvania, Ohio, Illinois, Connecticut, Massachusetts, Maryland, and a handful of other states have some form of deregulated retail choice. We've built rate calculators noting this for utilities including PECO, PPL Electric, AEP Ohio, and CenterPoint Energy — check your specific state and utility rather than assuming either way.
Shopping can save money — or not
A competitive supplier's rate can beat the utility's default supply rate, but promotional teaser rates that jump after an initial period are a common trap. Compare the full contract rate (not just an advertised low intro rate) against your utility's default before switching, and watch for cancellation fees.
Solar changes the calculation regardless
Once you're generating your own power, net metering terms are typically set by the delivery utility, not your chosen supplier — so switching suppliers doesn't directly change your solar credit structure, though it does change what you pay for any electricity you still draw from the grid. See your state's net metering policy for the piece that applies to solar specifically.
Frequently asked questions
Does choosing a different supplier affect my utility's reliability or service?
No — the delivery utility remains responsible for maintaining lines, restoring outages, and reading your meter regardless of which supplier you choose for the generation portion of your bill.
Are deregulated market rates always cheaper?
Not necessarily — some default utility supply rates are competitive on their own, and promotional third-party offers can include fees or rate increases after an introductory period, so comparing the full terms matters more than the headline rate.