BALTIMORE -- Baltimore City Council President Zeke Cohen and Councilmember Yitzy Schleifer are expected to hold a news conference Monday morning to discuss the impact of BGE rate increases on business owners and residents. The city leaders are expected to discuss steps that the council is taking in response to the rising costs. It comes as BGE has paused service disconnections and waived late payment fees due to the "unanticipated high bills," and after Maryland lawmakers introduced legislation to address the rate increases.
Why are BGE bills increasing
Baltimore area residents started
expressing concerns about the increase in their electric bill at the beginning of the year, with some reporting a more than $200 jump from their previous billing cycle. At the time, BGE said some increases in utility bills are to be expected during the first six months of the year as there are price hikes that begin on Jan. 1. Those price hikes should have averaged about $7.77. A spokesperson for BGE advised customers to drop their thermostats and adjust their water heaters to save money.
BGE addresses rate hikes
Concerns about high bills continued as Maryland experienced a blast of Arctic air that sent wind chills into the single digits for several days. On Feb. 3, BGE
waived late fees and paused service disconnections , saying the high bills were due to the extremely cold weather, increases in the cost of gas and electric and an increase in the cost to improve their systems. The company also waived the deposit requirement for customers who have had their service disconnected and shared programs for those struggling to pay their bills.
Ratepayer Protection Act introduced
A group of Maryland lawmakers introduced the
Ratepayer Protection Act in response to the continued concerns about BGE rate increases. The proposed bill would require gas companies to focus on lowering spending on pipelines instead of raising rates for customers. In announcing the bill, lawmakers shared that BGE gas delivery rates have more than tripled since 2010 along with the company's profits, according to the Office of the People's Counsel. The Office of the People's Counsel also projected that BGE's monthly winter delivery bill could double by 2035, reaching $450 per month. According to the group, BGE's pipeline replacement project has drawn criticism, and the proposed bill would require gas companies to show that they prioritize projects based on cost-effectiveness and risk to the public.