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Options for Reforming DC's Retail Energy Markets


Tuesday, October 14, 2025

In DC, residents and businesses can receive their electricity or gas either from the utilities or from a third-party supplier. DOEE recently analyzed 14 months of electricity market data from 2023-2024 for customers of third-party suppliers and Pepco's Standard Offer Service (SOS). DOEE's analysis found that residential customers of third-party suppliers paid, on average, 70% more for their supply of electricity than they would have on Pepco's SOS. Other states have experienced similar challenges with high prices charged by many third-party suppliers and have begun to implement market reforms. The slide report below summarizes DOEE's findings and describes options for regulatory reforms in DC, based in models and lessons learned from other states.