What can be done about your expensive Pepco bill?
Financial assistance, energy audits, and avoiding third-party suppliers can help.
Financial assistance, energy audits, and avoiding third-party suppliers can help.
Many D.C. residents were shocked when they opened their electricity bills this winter, reporting bills often hundreds of dollars higher than they expected. We dug into why electricity bills have spiked — in short, a combination of recent Pepco rate hikes, rising electricity costs due to a spike in demand from data centers, and extremely cold weather — but we also wanted to know whether D.C. residents could do anything about it. Unfortunately, there’s not a secret hack that’s guaranteed to bring down your bill. As we reported previously, utility affordability in D.C. goes beyond a household’s energy usage. But there are some important things to know.
D.C.’s Department of Energy and Environment has a “do-it-yourself energy audit” on their website. It has a detailed list of common problem areas for energy loss in homes, like air leaks and lighting, and offers potential fixes for making your home more energy efficient.
There are also professional energy audits — though those can cost between $300 to $500, according to the DOEE’s website.
Such investments can pose a particular challenge for renters. When Thomas Cortez saw his Pepco bill go over $300 for his Dupont Circle basement unit in December, he tried getting his landlord to send someone to do an energy audit.“It got to the point where last week I just had to call an HVAC company myself and just tell my landlord I’d just pay for it myself,” Cortez said.
In an email to The 51st, Pepco spokesperson Addie Kauzlarich wrote that “the smaller the difference between the indoor and outdoor temperatures, the lower your overall heating bill will be,” and that customers can “easily save energy in the winter by setting the thermostat to around 68°F to 70°F.”
It’s worth noting, however, that D.C. residents say they’re doing just that — and their bills are still climbing.
“Double, and I'm freezing trying to keep the price down,” wrote one user on Washingtonian Problem’s Instagram about their Pepco bill increase.
Cortez said he’s set his temperature to as low as 62, but his bills have still been costly. “It just is one of those things where it just feels like no matter how many things I try, the bill just stays insanely high.”
“It's not sustainable,” he added. “People are already feeling like D.C. is too expensive for them to live here.”
Kauzlarich also recommended having heating units serviced and cleaned, keeping cold air out by caulking or weather-stripping windows and doors, and keeping blinds open during the day to “capture the radiant heating benefits of the sun.”
D.C. and Pepco offer some financial assistance programs that utility customers can apply for.
One is the Low-Income Home Energy Assistance Program (LIHEAP), a program that applies a one-time regular energy assistance benefit to electric or heating source bills for income-eligible households.
If you’re not eligible for LIHEAP, you may still be eligible for D.C’s Utility Discounts Programs (UDP), a set of programs that offers reduced rates on electricity, gas, and water bills, and has a higher income threshold for eligibility (for instance, a person who lives alone and makes $91,800 or less annually qualifies for UDP.)
If you’re eligible, you’ll be enrolled in Pepco’s Residential Aid Discount Program, which applies a monthly credit for their distribution charges. Those enrolled in the program can save up to $475 per year on electric bills, or $300 per year if you don't have electric heat, according to DOEE.
There are two important players on your Pepco bill: the distributor and the supplier. On most D.C. residents’ bills, Pepco’s name is next to where it says “delivery” and “supply.” But while Pepco distributes all electricity in D.C., residents are allowed to choose a different energy supplier (rather than use the power that Pepco purchases from regional grid operator, PJM).
While having the choice can theoretically make costs lower, D.C. Attorney General Brian Schwalb has warned residents that some companies use deceptive and “potentially illegal sales tactics” to get residents to switch energy suppliers – and that it usually results in higher bills.
A Washington City Paper investigation laid out how it works: third-party energy companies use pressure tactics, sometimes even pretending to be from Pepco or Washington Gas, to persuade people to make the switch. In many cases, people have reported being switched without their knowledge or consent entirely. The City Paper reported that D.C.’s Office of People’s Counsel has received thousands of complaints about third-energy suppliers since 2022.
D.C.’s Office of the People’s Counsel has an online guide on how to read Pepco bills, which can help you catch any discrepancies in your bill.
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