More residents fall behind on electric bills


Protective Relay Training - Basic

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 12 hours Instructor-led
  • Group Training Available
Regular Price:
$699
Coupon Price:
$599
Reserve Your Seat Today
Almost 90,000 state households have had their electricity cut off in the last year — 23 percent more than the year before, according to a report by the Public Service Commission.

The PSC compared two years of data from October 2006 through September 2008. It found that more residential utility customers in Maryland have fallen further behind on their bills. This leads energy companies to warn more customers of service shut-off, and eventually disconnect power.

Baltimore Gas & Electric Co. provides service to 56 percent of the state's nearly 2 million residential customers. It had the highest average number of customers with bills more than 21 days past due during a 12-month period.

From October 2007 to September 2008, customers owed BGE almost $81 million, an increase of more than $30 million from the year before.

"It's probably a combination of the most vulnerable customers getting hit and the most aggressive rate spike," said Johanna Neumann, policy advocate for the Maryland Public Interest Research Group.

BGE customers were subject to a 72 percent rate increase in June 2007, after the General Assembly lifted price caps it imposed when the state's energy industry moved to deregulation.

"We have seen the past due amounts increase over (the past year), and certainly we believe that is at least in part due to rising energy prices and the transition to deregulation, but we have been taking a number of steps to help our customers," said Linda Foy, a BGE spokeswoman.

The statewide average amount a residential customer with overdue bills owed went up 36 percent during the past two years. According to the PSC, the average amount owed was $340 in the last year, compared with $250 from 2006 to 2007.

At BGE, customers owed an average of $368 from 2006 to 2007 and $596 over the past year — an increase of 62 percent.

BGE had an average of 140,000 customers with unpaid bills from 2007 to 2008, or 12.7 percent of its customers. Potomac Electric Power Co., Allegheny Power and Delmarva Power, the state's other main power companies, respectively had average customer delinquencies of 20 percent, 16.8 percent and 23.4 percent during the same time.

Foy said 9 percent to 15 percent of BGE customers are behind on utility payments at all times.

BGE urges customers to contact the company before service is cut off, Foy said.

The Fuel Fund of Maryland is one place residents get help with bills. The group serves low-income residents who make about $1,000 a month, according to Mary Ellen Vanni, the group's executive director.

The Fuel Fund works to help customers pay their bills with aid from BGE. Customers must pay one-third of their bill, the group pays one-third and BGE credits the customer for the rest.

"The big issue is that one-third now is more than a customer can afford," Vanni said.

Vanni's group depends on donations, but she said lately it has been harder to raise money to serve all the people who need help.

"I think that policymakers certainly recognize the need and have tried to fund the need," said Theresa Czarski of the Office of the People's Counsel. "The problem is with the economy and tax receipts being down, I'm not sure that anyone can count on more government assistance this year."

Related News

Biden calls for 100 percent clean electricity by 2035. Here’s how far we have to go.

Biden Clean Energy Plan 2035 accelerates carbon-free electricity with renewables, nuclear, hydropower, and biomass, invests…
View more

USA: 3 Ways Fossil Energy Ensures U.S. Energy Security

DOE Office of Fossil Energy safeguards energy security via the Strategic Petroleum Reserve, domestic critical…
View more

Does Providing Electricity To The Poor Reduce Poverty? Maybe Not

Rural Electrification Poverty Impact examines energy access, grid connections, and reliability, testing economic development claims…
View more

Trudeau vows to regulate oil and gas emissions, electric car sales

Canada Oil and Gas Emissions Cap sets five-year targets to cut sector emissions toward net-zero…
View more

Philippines Reaffirms Clean Energy Commitment at APEC Summit

Philippines Clean Energy Commitment underscores APEC-aligned renewables, energy transition, and climate resilience, backed by policy…
View more

Venezuela: Electricity Recovery Continues as US Withdraws Diplomatic Staff

Venezuela Power Outage cripples the national grid after a massive blackout; alleged cyber attacks at…
View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Live Online & In-person Group Training

Advantages To Instructor-Led Training – Instructor-Led Course, Customized Training, Multiple Locations, Economical, CEU Credits, Course Discounts.

Request For Quotation

Whether you would prefer Live Online or In-Person instruction, our electrical training courses can be tailored to meet your company's specific requirements and delivered to your employees in one location or at various locations.