Press Release

PUC: PGW to Pay $100,000 in Settlements Related to 2 Cold-Weather Deaths

Published on 2/9/2006

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission today gave final approval to two settlements with Philadelphia Gas Works (PGW) that included a total $100,000 financial penalty for the company and changes to its shut-off and customer contact procedures.

            “We hope that through this settlement a strong message is being sent to PGW and all utilities that this Commission is taking its role of watchdog for the health and safety of utility customers very seriously,” said Commission Chairman Wendell F. Holland. “Winter terminations have serious repercussions on the well being of consumers. Utility companies need to know that doing so improperly means they will face serious consequences.”

           The Commission voted unanimously to approve the settlements, which follow two informal investigations by the PUC’s independent prosecutory staff into two cold-weather related deaths and service terminations. During the investigations, the prosecutory staff alleged a total of 14 violations by the company related to two cold-weather deaths. On Aug. 25, 2005, the Commission raised the initial financial portion of the settlements from a total of $22,250 to $100,000.

           According to the prosecutory staff’s investigation, a December 2002 death occurred after PGW repeatedly failed to contact a residential customer, failed to leave a 24-hour notice as required and then terminated service. The investigation alleged six violations of the company’s tariff and the Public Utility Code.

           In a separate investigation, the prosecutory staff alleged that a January 2003 death occurred after PGW failed to bill an account and then subsequently terminated the service with no wrongdoing by the consumer. The investigation alleged eight violations of the company’s tariff and the Public Utility Code.

          In both cases, the death under investigation occurred due to hypothermia after termination. The settlements also required PGW to improve its shut-off and customer-contact follow-up procedures.

           The Pennsylvania Public Utility Commission ensures safe, reliable and reasonably priced electric, natural gas, water, telephone and transportation service for Pennsylvania consumers, by regulating public utilities and by serving as responsible stewards of competition. For more information about the PUC and additional press releases, visit our website at www.puc.state.pa.us.

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Docket Nos.    M-00041858, M-00041859

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