Pennsylvania legislators are considering a bill to make monthly utility charges less of a mystery for people trying to manage household budgets.
The proposal calls for regulators to spell out what changed in a bill, the reason for each change, and the estimated share of the total attributable to each.
Here's what to know
According to Tri-State Alert, House Bill 2738, introduced by Pennsylvania state Rep. Brenda Pugh, would broaden the yearly rate comparison report produced by the Pennsylvania Public Utility Commission.
Rather than just alerting customers that prices went up, the expanded report would review five years of rate adjustments for residential, commercial, and industrial users.
Among the items it would need to break out are base rates, flat customer charges, delivery and transmission fees, fuel and purchased-gas adjustments, infrastructure improvement charges, storm recovery fees, universal service surcharges, and other PUC-approved costs that materially influence bills.
The PUC would then convert those entries into an estimated average monthly bill effect for each customer class.
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It would also have to show whether a given increase stemmed from federal or state law, a utility filing approved by regulators, or an automatic pricing mechanism already allowed under existing law.
Pugh has cast the bill as a push for greater openness at a time of rising energy costs.
"Families, seniors and small businesses are feeling the impact of rising utility bills, and they deserve more than another notice telling them their rates are going up," she said.
More background
Many consumers receive a utility bill without a clear explanation of why the number changed.
When the total rises, it can be hard to separate electricity generation from delivery, fuel expenses, storm repair costs, grid upgrade spending, or another approved surcharge.
Her legislation is designed to reduce that uncertainty by requiring significant adjustments to be described in plain language.
Those summaries could cite reasons such as operating expenses, debt service, environmental compliance, reliability work, grid investments, or increased fuel and purchased-gas costs.
Another part of the bill focuses on large electric transmission projects.
When one of those projects has a material effect on Pennsylvania ratepayers, the report would need to explain the project's purpose, its estimated cost, how the expenses are allocated, and the share Pennsylvania customers are expected to cover.
What's being done?
Because Pennsylvania has a competitive electricity market, more detailed billing data could make some consumers feel more comfortable comparing supply offers through PA Power Switch.
The measure would not cut bills on its own, but it could help customers see which charges are fixed and which may lend themselves to shopping around.
At the state level, it would also give the Public Utility Commission a clearer, more consumer-oriented way to show how rates have changed over time, rather than forcing people to sort through separate notices and filings.
"They deserve to know what increased, how much it increased, why it increased and what that means for their monthly bill," Pugh said.
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