Few Allentown residents realize how much control they have over their energy bills. Since Pennsylvania deregulated its electricity and natural gas markets, customers in PPL Electric Utilities and UGI Utilities territories can choose a competitive supplier for the generation or commodity portion of their bill, while the local utility continues delivering power and gas.
That freedom creates opportunity, but it also creates confusion. Dozens of suppliers market plans in the Lehigh Valley, each with different rates, terms, and renewable options. Here are ten of the most trusted energy suppliers serving Allentown homes and businesses.
How Energy Choice Works in Allentown
Your utility bill contains two main components: distribution, which pays the utility for maintaining wires and pipes, and supply, which covers the energy itself. Customers who do not choose a supplier receive the utility's default service rate, known as the price to compare. Switching to a competitive supplier can lock in a fixed rate, add renewable energy, or capture lower prices. The state's PA PowerSwitch tool helps consumers compare offers side by side.
Market Trends in the Lehigh Valley
Price volatility in recent years has made fixed-rate contracts more attractive to both households and businesses. Renewable energy plans are growing in popularity, especially among younger homeowners and companies with sustainability commitments. Suppliers are also expanding smart home bundles, time-of-use plans, and digital account tools to differentiate themselves in a crowded market.
Our Picks: The 10 Best Energy Suppliers in Allentown
1. PPL Electric Utilities
Headquartered right in Allentown, PPL Electric Utilities delivers electricity to well over a million customers across central and eastern Pennsylvania. Even customers who switch suppliers rely on PPL for distribution, outage restoration, and grid investment. Its default service rate serves as the benchmark every competitive offer is measured against.
2. UGI Utilities
UGI Utilities delivers natural gas throughout the Lehigh Valley and offers default gas supply for customers who do not shop. The utility is known for steady infrastructure investment and responsive customer service, and it administers the customer choice program that allows Allentown residents to select alternative gas suppliers.
3. Constellation
Constellation is one of the largest competitive energy suppliers in the country and serves residential and commercial customers in Pennsylvania. It offers fixed-rate electricity and natural gas plans, renewable options, and sophisticated procurement services for large businesses. Its financial strength provides confidence for customers signing multi-year agreements.
4. Direct Energy
Direct Energy offers a variety of electricity and natural gas plans in Pennsylvania, including fixed-rate, renewable, and plans with added perks. Its broad product lineup and established reputation make it a common choice for Allentown homeowners exploring the competitive market for the first time.
5. IGS Energy
IGS Energy is a family-owned supplier that has served customers for decades. It offers electricity, natural gas, and home services, along with solar and carbon-offset options. Customers frequently cite its clear contracts and responsive service, and many Lehigh Valley businesses use IGS for commercial supply.
6. Champion Energy
Champion Energy focuses on straightforward fixed-rate electricity plans with no-frills pricing. It has built a reputation for strong customer satisfaction and transparent terms. Allentown customers looking for predictable monthly bills without complicated incentives often find Champion a solid fit.
7. Inspire Clean Energy
Inspire Clean Energy offers subscription-style renewable electricity plans that provide a flat monthly supply price. The model appeals to environmentally conscious households who want clean energy matching and budget certainty. Its digital-first experience makes enrollment and account management simple.
8. Calpine Energy Solutions
Calpine Energy Solutions serves commercial and industrial customers with customized electricity supply. Backed by one of the largest power generators in the United States, it designs procurement strategies for manufacturers, warehouses, and institutions across the Lehigh Valley that need reliable supply and expert risk management.
9. WGL Energy
WGL Energy provides electricity and natural gas to residential and business customers in several Mid-Atlantic states, including Pennsylvania. It emphasizes clean energy solutions, carbon-neutral gas options, and long-standing community relationships. Its renewable products are popular with institutions seeking credible sustainability claims.
10. Agway Energy Services
Agway Energy Services is a longtime Northeast supplier offering electricity and natural gas plans with an emphasis on customer care. Its rural roots and service-oriented culture resonate with Lehigh Valley households, and it offers a mix of fixed and variable plans to suit different budgets.
Tips for Choosing an Energy Supplier
Always compare an offer against the current price to compare listed on your utility bill. Prefer fixed-rate plans for budget stability and read the terms for contract length, early termination fees, and what happens when the contract expires, since some plans roll into variable rates. Be cautious of introductory teaser rates. Businesses should consider working with a licensed energy broker to solicit competitive bids and to align contract timing with favorable market conditions.
Final Thoughts
Allentown residents and businesses enjoy one of the most competitive energy markets in the country. By understanding how energy choice works and partnering with reputable suppliers like those above, you can gain predictable pricing, add renewable energy, and potentially save significantly over time.