Press Release

PUC Releases Annual Report Highlighting Universal Service Programs, Collections Performance

Published on 8/3/2007

Filed under: Electric Gas

HARRISBURG –The Pennsylvania Public Utility Commission (PUC) today released the seventh annual summary of the universal service programs and collections performance of each of the state’s major electric distribution companies (EDCs) and natural gas distribution companies (NGDCs).

“We continue to encourage Pennsylvania utility customers to know about the programs available to help them maintain utility service especially in this volatile energy market,” said Commission Chairman Wendell F. Holland. “I urge all consumers to know their rights. As this report illustrates, many programs are available to help qualifying low-income consumers pay their bills or restore service. Consumers should call their utility first. If they are unable to reach an agreement with the utility, call the PUC for assistance at 800-782-1110.”

Universal service programs are those designed to help ensure that all customers have access to utility service no matter what their income. Programs include the Low Income Usage Reduction Program (LIURP), Customer Assistance Program (CAP), Customer Assistance and Referral Evaluation Services (CARES) and Hardship Funds.

Generally, electric and natural gas customer households who are enrolled in universal service programs have average household incomes that are less than $15,000 a year.

According to the report, the gross write-offs ratio for the electric industry was 1.86 percent in 2006, compared to 2.02 percent in 2005, while the natural gas industry average was 5.39 percent in 2006 and 5.21 percent in 2005.

Highlights from the 2006 report include that electric companies:

• Used $117,050,577 to enroll 217,651 customers in CAPs where on average those customers pay 81 percent of their total bill.
• Saw their customers receive $30.1 million in Low Income Heating Assistance Program (LIHEAP) benefits.
• Spent $20,710,051 to provide 19,443 households with LIURP. The companies have budgeted $20,850,441 in 2007, targeting 20,176 households.
• Saw about 11,400 customers receive nearly $3.6 million in hardship fund benefits.

Highlights also include that the natural gas companies:

• Used $173,063,559 to enroll 182,034 customers in CAPs where on average those customers pay 86 percent of their total bill.
• Saw their customers receive $63.1 million in LIHEAP benefits. 
• Spent $7,614,175 to provide 4,314 households with LIURP. The companies have budgeted $8,987,889 in 2007 and targeting 4,378 households.
• Saw about 9,600 customers receive more than $3.6 million in hardship fund benefits.

The EDCs and NGDCs began reporting the required data to the commission on April 1, 2007 for the reporting year 2006.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner. For recent news releases, or more information about the PUC, visit our Internet homepage www.puc.state.pa.us.

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Contact:

• Press Secretary
  717-787-5722