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Maryland Standard Offer Rates

If you do not choose another supplier, you will continue to receive what is called Standard Offer Service (SOS) from your utility company. This raises many issues for you to consider as the expiration date approaches.



What is Standard Offer Service (SOS)?   ^ top

SOS is power provided by a distribution utility (e.g. Allegheny Power, BGE, Conectiv/Delmarva Power Delivery, Pepco) if you do not choose a retail supplier such as SUEZ Energy Resources NA.

If you do choose to buy power from a competitive supplier, you do not pay the utility for SOS. SOS supply rates will be based on market prices derived from a competitive bidding process that was completed under the supervision of the Maryland Public Service Commission.


What is Provider of Last Resort (POLR)?   ^ top

If you do not choose a provider, your local distributing company, also called the Provider of Last Resort or POLR (e.g., Allegheny Power, BGE, Conectiv/Delmarva Power Delivery, Pepco) will provide a new fixed price market-based Standard Offer Service (if your Price Freeze Service has ended).


What is Peak Load Contribution (PLC)?   ^ top

Peak Load Contribution (PLC) is a measure of the peak amount of electricity a customer uses. Capacity PLC is used to determine the SOS classification and associated administrative fee. PLC is also used for electricity supplier pricing.


What are the components of SOS?   ^ top

Retail SOS price (also known as "price to compare", "shopping credit", "default service", or "POLR service price") has 4 components:

  1. Market-priced wholesale power supply
  2. Transmission charge
  3. Administrative charge
  4. Applicable taxes
The above components add up to the price you pay if you continue to buy SOS power supply from the utility.


What are the different SOS service types for each utility?   ^ top

  • Residential

  • Small Commercial & Industrial (C&I) - "Type I" SOS Customers
    1. < 25 kW in PEPCO
    2. < 60 kW in BGE & Conectiv/Delmarva
    3. < 50 kW in Allegheny

  • Medium C&I - "Type II" SOS Customers
    1. Peak Load Contribution (PLC) demands > Type I and < 600 kW

  • Large C&I - "Type III" Large Customer Service
    1. PLC demands > 600 kW

  • Large C&I also have Hourly Priced Service option


What is the administrative charge?   ^ top

The administrative charge is one of the key elements of the SOS price.

  • This charge includes return (profit) to utility and incremental costs related to SOS
    1. $5.50/MWh for Type I
    2. $6.00/MWh for Type II
    3. $6.50/MWh for Type III

  • Revenue collected by the utility in excess of identified cost items is credited to all distribution customers (not just SOS customers) eligible for that service type - you don't have to buy SOS to get this credit

  • You avoid the charge if you buy your power supply from a retail supplier such as SUEZ Energy Resources NA



Where can I find the current SOS rates?   ^ top

BGE

Pepco

Conectiv/Delmarva Power Delivery

Allegheny Power


Why should I switch to SUEZ Energy Resources NA?   ^ top

  • Product customization to suit your needs
    find the Product that's right for you
  • Avoid paying the administrative fee
  • Balance price-certainty with price-flexibility
  • Easy to understand contracts and bills
    read about our Contracts & Billing
  • Expertise in the marketplace
    see our Case Studies



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