Pennsylvania Lawmaker Proposed Electricity Aggregation Plan

The legislation aims to empower local communities to purchase power through an opt-out model.

Updated on Oct. 10, 2026 in Utilities

Isometric editorial illustration of a tall electrical pylon standing in a rolling landscape, representing community energy procurement legislation.
Pennsylvania Representative Nathan Davidson introduced legislation to enable Community Choice Aggregation, allowing local governments to negotiate competitive electricity rates for residents. AI Illustration. Upload story photo >

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Representative Nathan Davidson has announced plans to introduce legislation enabling Community Choice Aggregation across Pennsylvania. The proposal seeks to provide residents and small businesses with greater bargaining power to lower rising electricity costs.

Why it matters

This move aims to tackle a 46% surge in residential electricity prices observed between 2018 and 2025. It addresses the lack of statutory authority that previously hindered municipal efforts to secure competitive generation rates.

Residential electricity prices rose 46% between 2018 and 2025. While 11 other states currently authorize opt-out aggregation programs, eight previous municipal proposals in Pennsylvania were rejected by regulators.

The players

Nathan Davidson

He is a state representative serving the district of Lemoyne, Pennsylvania, who is leading the push for this energy policy reform.

Public Utility Commission

This is the state regulatory body that previously denied municipal applications for aggregation programs citing existing anti-slamming laws.

The details

The proposed legislation would establish an opt-out framework, allowing local governments to bundle electricity demand for their residents and small-business accounts. The bill is expected to include robust consumer protections and allow participants to exit programs at any time without incurring penalties.

Timeline

  1. 2018-2025: Pennsylvania residential electricity prices increased by 46%.

  2. October 9, 2026: Representative Nathan Davidson announced the upcoming legislation.

Market Landscape

The proposal seeks to align Pennsylvania with 11 other states that have already cleared regulatory hurdles to allow municipal power aggregation. This effort directly challenges existing anti-slamming laws that have previously blocked local governments from purchasing electricity in bulk.

Residents could gain access to more competitive electricity rates through their local government's collective bargaining power. The program's opt-out design means households would remain on their current default service unless they choose to participate.

The takeaway

This legislation represents a significant effort to decentralize energy purchasing power for Pennsylvania residents. If passed, it could provide a new tool for communities to hedge against rising utility costs without trapping consumers in long-term contracts.

Further reading

For more information on the evolving energy grid, visit the Utilities section.

Source note: This article includes information reported by Big Country News.

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Should local governments in your area be allowed to manage collective electricity purchasing for residents?