The Maryland Public Service Commission recently issued two orders to help mitigate the impact of rate increases.
Last week, the Maryland Public Service Commission issued a pair of Letter Orders to seek to mitigate the effects of recent rate increases in the Baltimore Gas and Electric and Delmarva Power territories.
In response to historically high capacity costs in wholesale markets regulated by the Federal Energy Regulatory Commission (FERC), the Commission issued an order requiring Baltimore Gas and Electric Company (BGE) to shift recovery of some supply costs to lower-usage months over a six-month period. This means customers will pay less for supply costs in the summer and winter when bills are typically highest but will see an increase in the fall and spring months when bills are typically lower. Effectively, the order will benefit customers by flattening costs and help mitigate excessively high electricity bills during peak months. In addition, the Commission is supporting the Maryland Office of People’s Counsel (OPC) and several other PJM state consumer advocates in their complaint at FERC challenging high wholesale capacity prices.
“The Commission took these actions to mitigate the impacts felt by customers as a result of higher-than-expected energy costs, coupled with potential high usage in the coming months,” said Frederick H. Hoover, Commission Chair.
On May 29, 2025, the Commission also approved Delmarva Power & Light Company’s proposal to issue a refund to customers related to the Company’s multi-year rate plan (“MRP.”) As a result of the review of the Company’s Annual Informational Filing for its MRP, the Commission determined that for the period of January 1, 2024 through December 31, 2024, Delmarva Power over-recovered its revenue requirement by approximately $800,000. In its Order, the Commission approved Delmarva Power’s proposal to return approximately $800,000 to customers over a one-year period from July 1, 2025 through June 30, 2026. This will result in an average residential bill credit of 30 cents per month.
These two actions by the PSC follow an energy-focused legislative session. The Maryland General Assembly debated a historic number of energy-focused bills, the centerpiece of which was a three-bill package introduced by the presiding officers and the chairs of the committees of jurisdiction. Governor Moore signed two of the three package energy bills and vetoed the third, citing costs and duplication of efforts.
