Retail Choice
You Have the Right to Choose Your Electricity Supplier in Maryland
In Maryland, you have the option to choose your electricity supplier separately from your utility company. Your utility remains responsible for delivering power to your home, while a supplier provides the actual electricity. Understanding how retail choice works can help you find better rates or renewable energy options.
Maryland’s retail choice program allows residential customers to choose their electricity supplier. When you choose a supplier, you are selecting who generates or purchases the electricity you use — not who delivers it. Your utility still delivers power and handles outages and repairs. Your bill may come from your utility or directly from your supplier depending on the arrangement.
Before switching suppliers, do your homework. Find out how suppliers market their products, understand the details of their contracts, and get tips on how to access clean energy. The Office of People’s Counsel of Maryland has excellent resources to further assist you. Understanding contract terms including length, early termination fees, and whether the rate is fixed or variable is essential before signing anything.
Look at prices from different suppliers, including the one you currently use, to make sure you are getting the best deal. The Maryland Public Service Commission maintains a list of licensed electricity suppliers and allows you to compare the supply price of your utility and electric suppliers. This is a free resource available to all Maryland residents.
Before signing with any supplier, check with the Maryland Public Service Commission to make sure they are licensed — this is required to do business in the state. Protecting yourself in any retail transaction is crucial, and this includes dealing with energy suppliers. If a supplier is not on the PSC’s licensed list, do not sign a contract with them.
Retail choice gives you the option to select a supplier that provides electricity from renewable sources such as wind or solar. Green energy in the retail electricity context is electricity that comes from renewable sources and typically costs slightly more but has less environmental impact than standard energy. Ask potential suppliers about their fuel mix and any green energy options they offer.
Some areas in Maryland do not participate in retail electric competition, including municipal and rural cooperative systems. These community-owned, non-profit utilities purchase energy at wholesale prices and pass the savings directly to their customers. If you are served by a rural cooperative or municipal utility, retail choice may not be available in your area.
Want to Understand Your Bill Before Switching?
Learn how to read your utility bill and understand the charges before comparing suppliers.