Ohio · Updated August 28, 2026
Why is my Ohio Edison bill so high?
Ohio Edison's supply rate for General Service customers rose to 9.3786¢ per kWh on June 1, 2026, up from 8.8698¢ — an increase of almost 6% under Rider GEN. Competitive suppliers in Ohio are offering rates as low as 7.6¢ per kWh, so a business still on the default rate is paying roughly 1.8¢ more per kWh than it needs to.
Verified August 28, 2026. Source: Ohio Edison Company tariff P.U.C.O. No. 11, Rider GEN sheet 114 and Rate GS sheet 20. Reviewed at the start of each month.
The short version
Your bill has two halves. One you cannot change, one you can.
| Part of your bill | Who sets it | Can you change it? |
|---|---|---|
| Delivery — poles, wires, meter, repairs | Ohio Edison | No. Regulated, identical for everyone in the territory |
| Supply — the electricity itself | Whoever you buy from | Yes. Ohio has been deregulated since 1999 |
Ohio Edison is your utility, one of FirstEnergy's three Ohio companies alongside Toledo Edison and The Illuminating Company. It will always deliver your power and always send your bill. But the supply half is open to competition, and most Ohio businesses have never switched — so they sit on the default rate, called the Standard Service Offer.
What changed on June 1, 2026
Rider GEN is the line that covers your generation supply. It has two components, and the filed tariff breaks them out even though most coverage reports only the total.
| Rate GS component | Rate per kWh |
|---|---|
| Capacity charge | 2.1012¢ |
| Energy charge | 7.2774¢ |
| Total, effective June 1, 2026 | 9.3786¢ |
| Previous rate | 8.8698¢ |
| Increase | +5.7% |
The capacity half is the part worth understanding. It is set by PJM's annual capacity auctions and allocated to each utility based on peak demand — which is why regional grid conditions land on your bill whether your own usage changed or not. Capacity prices across PJM rose from $28.92 to $329.17 per MW-day in two years, driven largely by data center load.
What that gap costs a small business
The supply rate is the only part a switch moves, so this is the arithmetic that matters.
| Monthly usage | At 9.3786¢ | At 7.6¢ | Saved per year |
|---|---|---|---|
| 1,500 kWh — small office | $140.68 | $114.00 | $320 |
| 4,000 kWh — restaurant | $375.14 | $304.00 | $854 |
| 8,000 kWh — small retail | $750.29 | $608.00 | $1,707 |
| 15,000 kWh — grocery | $1,406.79 | $1,140.00 | $3,201 |
These use the lowest advertised competitive rate. Your actual offer depends on your usage pattern and contract length, which is why the advertised number and your real number are rarely the same.
The part that catches business owners out
If your bill jumped and the supply rate does not explain it, look for a demand charge. On Rate GS, Ohio Edison bills capacity separately from the kilowatt-hours you consumed, and it is based on your peak — not your total.
| Rate GS distribution charge | Amount |
|---|---|
| Service charge | $10.00 per month |
| Capacity, up to 5 kW of billing demand | $19.6895 |
| Each kW above 5 kW | $7.5886 |
| Reactive demand, three-phase only | $0.60 per rkVA |
Billing demand is the highest 30-minute integrated kilowatt reading of the month, with a 5 kW floor. One afternoon where the walk-in compressor, the HVAC and the ovens all run together can set a demand charge that follows you for the entire billing period. Cutting total consumption does nothing for it; shifting when equipment starts does.
If you have no demand meter and use more than 1,000 kWh a month, Ohio Edison estimates your demand as kWh divided by 200. A business using 4,000 kWh is billed as though it peaked at 20 kW — whether it did or not. Getting a demand meter installed can be worth it if your real peak is lower than the estimate.
Three other reasons your bill jumped
1. You rolled off a fixed contract
Fixed-rate supply contracts expire quietly. When yours does, you usually drop to a variable rate or back to the default — often at a much higher price, with no notice that reads like a warning.
2. A variable-rate supplier repriced you
If you signed with a competitive supplier on a variable plan, your rate can move every month. Introductory rates that beat the utility in month one frequently exceed it by month six.
3. Seasonal load, and winter rates
Rider GEN applies separate winter rates during the winter billing period. Combined with heating load, a January bill can look alarming for reasons that have nothing to do with being overcharged — worth ruling out before assuming you were.
When switching is the wrong move
If you are already on a fixed contract below 9.3786¢, stay put — early termination fees usually run $50 to $200 and will erase months of savings. If your contract ends within 60 days, wait and switch at renewal instead. And if a demand charge caused the spike, changing suppliers will not fix it, because demand charges sit on the delivery half of the bill.
How to check your own rate in five minutes
Pull your most recent Ohio Edison bill and find these four things:
- Your rate schedule — printed near the account details. Rate GS is General Service Secondary, the standard small commercial tariff
- Your supply rate in cents per kWh — if it reads 9.3786¢, you are on the default and have never switched
- Your billing demand in kW — if this line exists, a demand charge is part of your bill
- Your contract end date, if a competitive supplier appears on the bill
Then compare against current offers on Apples to Apples, the free comparison tool run by the Public Utilities Commission of Ohio. It lists every certified supplier licensed in your territory beside the utility's default rate.
Most private rate-comparison sites are paid by the suppliers they list, so the order you see is often the order of who pays most rather than who is cheapest for your usage. The PUCO tool is the neutral one — it is run by the state regulator and has nothing to sell you.
Send us your billCommon questions
What is Rider GEN on my Ohio Edison bill?
Rider GEN is the Generation Service Rider — the charge for the electricity itself when you buy supply from Ohio Edison rather than a competitive supplier. For General Service customers it is 9.3786¢ per kWh as of June 1, 2026, made up of a 2.1012¢ capacity charge and a 7.2774¢ energy charge.
Why did Ohio Edison's rate go up in June 2026?
The capacity component rose because PJM's annual capacity auction cleared at record prices, largely driven by data center demand. Capacity costs are allocated to each utility based on peak demand, so the increase reaches your bill regardless of whether your own usage changed.
What is billing demand on Rate GS?
It is the highest 30-minute integrated kilowatt reading during the month, with a 5 kW minimum. Ohio Edison charges $19.6895 for the first 5 kW and $7.5886 for each kW above that, separately from the kilowatt-hours you consumed.
Does switching suppliers lower my demand charge?
No. Demand charges are part of the delivery half of the bill, which is regulated and set by Ohio Edison. Switching only changes the supply rate. Lowering a demand charge means staggering when large equipment starts, not buying power elsewhere.
Is Ohio Edison the same as FirstEnergy?
Ohio Edison is one of FirstEnergy's three Ohio utilities, alongside Toledo Edison and The Illuminating Company. Each files its own tariff, so rates differ between them — check which one appears on your bill before comparing figures.
Rates for other Ohio utilities
Why is my Duke Energy bill so high?
Duke Energy Ohio's default supply rate rose 6% in June 2026 while competitive suppliers sit near 7.6¢/kWh. What the gap costs a small business, and when switching is the wrong move.
Why is my AEP Ohio bill so high?
AEP Ohio splits generation across two riders, so the Price to Compare quoted in the news is a residential figure no business pays. What a GS-1 account actually pays, and why the April transmission increase can't be shopped away.
Why is my AES Ohio bill so high?
AES Ohio's supply rate holds at 10.85¢/kWh until May 2027, but the charge that surprises Dayton business owners is the demand charge — billed from the first kilowatt, with no small-business exemption.