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Baltimore officials and residents challenge BGE’s proposed $156 million rate increase
BGE says the increase would fund essential grid repairs and storm response, but residents and Baltimore City Council President Zeke Cohen warned that higher bills would deepen pressure on household budgets. Maryland regulators expect to decide the utility’s request in January.
Baltimore residents and city leaders pressed Maryland regulators to reject or reduce Baltimore Gas and Electric’s proposed $156 million rate increase during a virtual public comment hearing Oct. 26, saying the added cost would strain customers already struggling to cover basic expenses.
If approved, the proposal could raise the average customer’s bill by about $8 a month starting early next year. Current BGE rates will remain frozen until the Maryland Public Service Commission makes a decision.
“People are having to choose between keeping their lights on, buying groceries, paying rent, and meeting their basic needs,” one participant told the commission.
Baltimore City Council President Zeke Cohen called the request “a complete money grab” and urged commissioners to reject it. He also called on the commission to reduce BGE’s proposed 9.5% rate of return on equity to 7.3%.
BGE spokesperson Nick Alexopoulos said the company needs the added revenue for work including replacing aging poles and broken equipment, trimming trees and restoring service after storms. Those costs are rising, he said, and the proposal includes only what BGE considers essential to maintaining reliable service.
Commissioner Bonnie Suchman told participants that public testimony helps regulators understand the effects of utility decisions on customers. The commission’s next meeting is scheduled for Nov. 4, and it is expected to issue a final decision in January.