Press Release

PUC to Investigate Rate Increase Requests for Penn Power, West Penn Power, Met-Ed and Penelec

Published on 10/2/2014

Filed under: Electric

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today voted to investigate distribution rate increase requests for FirstEnergy Corp.’s Pennsylvania subsidiaries: Pennsylvania Power Co. (Penn Power), West Penn Power Co. (West Penn Power), Metropolitan Edison Co. (Met-Ed) and Pennsylvania Electric Co. (Penelec).

The Commission voted 5-0 to investigate the requests, which propose increasing the annual electric distribution rates. The Commission investigation will determine what, if any, of the requested increases are justified. It will also examine how cost-saving measures from the deployment of smart meters are to be addressed in the general base rate case filings.

The requests are suspended for up to seven months and will be assigned to the Office of Administrative Law Judge for public hearings and a recommended decision or settlement. A final decision must be made by May 3, 2015. More information on the ratemaking process is available on the Commission’s website.

Penn Power

The company proposes to increase Penn Power’s distribution rates by $28.5 million (8.7 percent). Under the rate increase request for Penn Power, the monthly electric bill for an average residential customer using 1,000 kilowatt-hours (kWh) per month would increase from $104.76 to $117.15 (11.8 percent). Penn Power serves about 335,000 customers in seven counties.

West Penn Power

The company proposes to increase West Penn Power’s distribution rates by $115.5 million (8.4 percent). Under the request for West Penn Power, the monthly electric bill for an average residential customer using 1,000 kWh per month would increase from $92.47 to $106.09 (14.7 percent). West Penn Power serves about 1.48 million customers in 23 counties.

Penelec

The company proposed to increase Penelec’s distribution rates by $119.8 million (8.6 percent). Under the request for Penelec, the monthly electric bill for an average residential customer using 1,000 kWh per month would increase from $120.46 to $140.04 (16.3 percent). Penelec serves about 1.2 million customers in 32 counties.

Met-Ed

The company proposed to increase Met-Ed’s distribution rates by by $151.9 million (11.5 percent). Under the request for Met-Ed, the monthly electric bill for an average residential customer using 1,000 kWh per month would increase from $116.56 to $137.34 (17.8 percent). Met-Ed serves about 1.25 million customers in 14 counties.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities; ensures safe and reliable utility service at reasonable rates; protects the public interest; educates consumers to make independent and informed utility choices; furthers economic development; and fosters new technologies and competitive markets in an environmentally sound manner.

For recent news releases and video of select Commission proceedings or more information about the PUC, visit our website at www.puc.pa.gov. Follow the PUC on Twitter – @PA_PUC for all things utility.  “Like” PAPowerSwitch on Facebook for easy access to information on electric shopping.

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 Docket Nos.R-2014-2428742; R-2014-2428743; R-2014-2428744; R-2014-2428745; M-2013-2341991; M-2013-2341994; M-2013-2341993; M-2013-2341990 

Contact:

• Denise McCracken
  Senior Communications Specialist
  717-787-5722
  demccracken@pa.gov