BGE Customers Could See Relief on Natural Gas Bills

BGE customers could soon see some relief on their natural gas bills after the utility helped secure nearly $500,000 in customer savings through a federal rate case settlement, FOX Baltimore reports.

The savings come after a multi-year dispute over proposed increases in interstate natural gas transportation costs, which directly impact the supply portion of customer energy bills.

BGE joined forces with its parent company, Exelon, and sister utilities Delmarva Power and PECO to challenge the proposed rate hikes. Their efforts ultimately helped reduce costs and prevent customers from facing additional charges.

According to Exelon, the settlement will return more than $13 million to customers across the three natural gas utilities through refunds and reduced long-term rates. The companies also say they helped customers avoid more than $12 million annually in potential future costs.

The case was reviewed before the Federal Energy Regulatory Commission (FERC) and centered around a proposed increase from Transcontinental Gas Pipeline Company (Transco), a major natural gas supplier serving the Mid-Atlantic region.

Exelon companies pushed back against the proposed increase, leading to a settlement that includes refunds for over-collected costs and protections against future rate hikes.

BGE officials say the agreement comes at an important time as many Maryland residents continue to struggle with rising utility and living expenses.

“Maryland families and businesses are under real pressure from high energy costs, and we take our responsibility to stand up for customers very seriously,” said Tamla Olivier, president and CEO of BGE, in a press release. “While we can’t control every component of an energy bill, we can challenge unjustified cost increases and fight for fair outcomes. We’re committed to doing everything in our power to protect customers and keep energy as affordable and reliable as possible.”

As part of the agreement, Transco will not seek additional base rate increases before August 31, 2027, giving customers added stability over the next several years.

The nearly $500,000 in refunds for BGE customers will be distributed automatically through the company’s standard gas supply cost recovery process, meaning customers should see the savings reflected in future bills.

BGE Customers Could See Relief On Gas Bills After Federal Settlement was originally published on 92q.com