How to Switch Electricity Suppliers in Maryland: A Step-by-Step Guide for Cannabis Businesses

Step 1: Confirm the account is eligible

Maryland opened retail choice under the Electric Customer Choice and Competition Act of 1999, with implementation by July 1, 2000 [md-pua-7-505]. Every customer of BGE, Pepco, Delmarva Power, and Potomac Edison may buy supply from a PSC-licensed electricity supplier [md-psc-electricity]. The utility continues to deliver power, maintain lines, and respond to outages [md-psc-sos].

The eligibility question for a cannabis business is usually the account name, not the license type. A dispensary on a landlord's master meter cannot switch unless the landlord switches. A grow in buildout has no account to switch until service is energized. Put the account in the licensee's name before shopping.

Choptank and SMECO cooperatives offer SOS but competitive choice there is limited in practice [md-psc-sos].

Step 2: Pull twelve months of bills and identify your SOS tier

From each bill, record the account number, meter number, delivery class, monthly kWh, monthly peak kW, and supply charge. The utility bill page shows where each line sits.

Then classify the SOS tier [md-comar-20-52-01-02]:

Tier	Who qualifies	SOS price behavior
Type I	Small commercial per utility rate schedules	Fixed price, bid twice a year [md-psc-sos]
Type II	Non-residential, ineligible for Type I, PJM PLC under 600 kW	Fixed price, bid quarterly [md-psc-sos]
Hourly priced service	Larger accounts per COMAR definitions	PJM hourly prices plus adders [md-comar-20-52-01-02]

Most dispensaries land in Type I. Mid-sized grows and labs land in Type II. Large cultivation centers may be on hourly priced service.

Step 3: Find your Standard Offer Service benchmark

Type I and Type II SOS prices come from PSC-regulated competitive procurements [md-psc-sos]. Potomac Edison publishes residential SOS reference prices on its customer choice page; commercial benchmarks are on the bill or the utility SOS schedule [fe-md-customer-choice].

For hourly priced service accounts, compute trailing twelve-month supply cost divided by kWh. That is the benchmark, not a published fixed price [md-comar-20-52-01-02].

Step 4: Verify the supplier is PSC-licensed

The Maryland Public Service Commission licenses competitive electricity suppliers [md-psc-electricity]. Check the supplier name against the PSC list before sharing interval data. Unlicensed marketers cannot enroll your account.

Step 5: Request comparable offers

Ask every supplier for the same term length, product type, start month, and pass-through rules for PJM capacity and network transmission. Maryland sits entirely in PJM, but BGE, Pepco, Delmarva, and APS zones carry different RPM clearing prices [md-psc-sos].

Use the contract comparison worksheet to line offers up. A fixed price that excludes capacity pass-through is not comparable to a fully bundled fixed price.

Step 6: Sign and choose billing format

Before signing, read term, auto-renewal, notice window, and termination language. The contract terms page covers evergreen clauses and early termination fees. Large commercial accounts are not covered by residential rescission rules.

Choose consolidated billing (supplier charge on the utility bill) or supplier single bill based on what accounting prefers [md-psc-sos].

Step 7: Supplier submits enrollment to the utility

After you sign, the supplier submits enrollment electronically to BGE, Pepco, Delmarva, or Potomac Edison [md-psc-sos]. You do not initiate the switch directly. Processing time varies by utility billing cycle.

Step 8: Confirm the first bill after the switch

The switch takes effect on the next meter read after processing [md-psc-sos]. On the first bill after the effective date, confirm:

1. The supplier's supply charge appears
2. The SOS supply line is gone
3. Delivery charges match the prior month (class unchanged)

If delivery charges moved, investigate a rate class change separately from the switch.

Step 9: Calendar contract end and notice dates

Put contract end date and notice deadline on the same calendar as license renewals. Re-bid 90 days before expiry. If a large account lapses without a new supplier, it returns to hourly priced service on PJM markets [md-comar-20-52-01-02], which is the most volatile default in the state.

Mistakes Maryland operators make

• Comparing a fixed supplier offer to last quarter's SOS when Type II reset this month. SOS moved at the quarterly auction [md-psc-sos].
• Ignoring PJM zone on multi-site bids. Pepco zone capacity costs differ from Potomac Edison APS zone costs [md-psc-sos].
• Switching before the account is in the licensee's name. Enrollment rejects or creates a landlord dispute.
• Letting a grow lapse to hourly priced service. Budget volatility on a flat load is avoidable with a fixed or block-and-index contract.
• Forgetting delivery still moves. PSC-approved delivery rate changes apply whether you have a supplier or not [md-psc-electricity].

The Maryland rate page holds benchmarks and class tables. Maryland switching rules sit in COMAR 20.52 and utility tariffs; confirm current terms with the PSC or your advisor before signing.

BGE vs. Pepco enrollment differences

Both utilities accept electronic supplier enrollment, but SOS rate publication formats differ [md-psc-sos]. BGE segmentation uses Schedules G through T [bge-segmentation]. Pepco Maryland uses GS, MGT, and GT naming. When switching a portfolio, attach the correct tariff schedule name to each enrollment form so the supplier prices the right class.

Hourly priced service accounts

If COMAR places the account on hourly priced service, treat supplier fixed offers as a hedge product, not a discount to a fixed SOS number [md-comar-20-52-01-02]. Trailing twelve-month hourly cost is the benchmark. Cultivation centers near the 600 kW PJM peak load contribution threshold should model capacity pass-through explicitly [md-comar-20-52-01-02].

EmPOWER programs after switching

EmPOWER Maryland efficiency programs remain available through the delivery utility after supply switches [md-psc-empower]. Pre-approve rebates before equipment purchase. Supply savings and rebate savings stack when timed in different budget cycles.

Quarterly SOS resets for Type II accounts

Type II SOS prices reset every quarter [md-psc-sos]. Request three supplier quotes with identical PJM capacity pass-through assumptions before each reset window [md-psc-sos]. Customer choice took effect July 1, 2000 under Public Utilities Article 7-505 [md-pua-7-505]. Verify supplier licensing on the PSC electricity division site [md-psc-electricity].

Quarterly bill review cadence

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [md-psc-electricity]. Update the folder after every rate case order and every benchmark reset published by the regulator [md-psc-sos]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-pua-7-505]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [fe-md-customer-choice]. Confirm current rules with the regulator or your advisor before signing supply contracts [md-psc-electricity].

Documentation for audits and lenders

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [md-psc-electricity]. Update the folder after every rate case order and every benchmark reset published by the regulator [md-psc-sos]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-pua-7-505]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [fe-md-customer-choice]. Confirm current rules with the regulator or your advisor before signing supply contracts [md-psc-electricity].

Board reporting on utility COGS

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [md-psc-electricity]. Update the folder after every rate case order and every benchmark reset published by the regulator [md-psc-sos]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-pua-7-505]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [fe-md-customer-choice]. Confirm current rules with the regulator or your advisor before signing supply contracts [md-psc-electricity].

Tariff verification before budgeting

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [md-psc-electricity]. Update the folder after every rate case order and every benchmark reset published by the regulator [md-psc-sos]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-pua-7-505]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [fe-md-customer-choice]. Confirm current rules with the regulator or your advisor before signing supply contracts [md-psc-electricity].

HPS accounts and indexed SOS

Hourly priced service accounts pay PJM hourly prices plus adders unless they sign with a competitive supplier [md-comar-20-52-01-02]. Cultivation facilities above the HPS threshold should solicit fixed supplier bids before energizing [md-psc-sos].

Quarterly bill review cadence

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [md-psc-electricity]. Update the folder after every rate case order and every benchmark reset published by the regulator [md-psc-sos]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-pua-7-505]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [fe-md-customer-choice]. Confirm current rules with the regulator or your advisor before signing supply contracts [md-psc-electricity].