Press Release

PUC 2017-18 Management Audits & Efficiency Investigations Identified $1.4 Million in Savings for Utilities & Consumers

Published on 10/25/2018

Filed under: Electric Gas Water and Wastewater Telecommunications Transportation and Safety

HARRISBURG – Recommendations included in audits conducted on various regulated utilities by the Pennsylvania Public Utility Commission (PUC) during the past year identified $1.4 million in savings – helping to ensure that rates paid by consumers are fair and reasonable.

The Commission voted 5-0 to publish its 2017-18 annual report on PUC management audits (MAs) and management efficiency investigations (MEIs), which work to identify efficiencies and savings for utilities, including potential improvements in operations, service reliability and safety programs.

“The PUC’s Audits Bureau represents the Commissions’ frontline in economic regulation, assuring that our utilities’ accounting and operations are compliant with Commission directives,” said Chairman Gladys M. Brown at today’s PUC Public Meeting. “I am proud of the excellent work of Audits Director Monaghan and all of her Staff for their hard work – which the release of this 2017-18 fiscal year audit summary report exemplifies – as it is vital to the Commission’s core mission of instilling reasonable and economic utility service.”

During Fiscal Year 2017-18, the PUC Bureau of Audits released the MAs of Columbia Water Company; National Fuel Gas Distribution Corporation; and Pike County Light and Power / Leatherstocking Gas Company (who share common ownership). These audits identified 55 improvement opportunities, with all recommendations being voluntarily accepted or partially accepted by these utilities.

The PUC’s Bureau of Audits also completed MEIs which evaluated the implementation efforts of PECO Energy Company and the York Water Company, with respect to a combined total of 38 recommendations from prior MAs and the companies’ emergency preparedness efforts.

During the MEIs it was determined that 24 (or 63 percent) of the prior recommendations had been effectively implemented and that the companies had taken some action on the 14 remaining recommendations. Additionally, 21 follow-up recommendations were made by PUC staff, with the companies indicating acceptance of all the follow-up recommendation in their implementation plans. 

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” Pennsylvania Public Utility Commission on Facebook for easy access to information on utility issues.

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Docket No.: D-2018-3004556

Contact:

• Nils Hagen-Frederiksen
  Press Secretary
  717-418-2701
  nhagen-fre@pa.gov