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BGE customers to see gas bill relief after federal settlement

BGE natural gas customers will get nearly $500,000 back on future bills, with no paperwork required. The settlement also blocks new Transco base rate hikes until Aug. 31, 2027.

Sarah Chen··2 min read
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BGE customers to see gas bill relief after federal settlement
Source: foxbaltimore.com

Baltimore Gas and Electric natural gas customers will see nearly $500,000 in relief flow back onto future bills after a federal settlement over interstate pipeline charges, with the credit applied automatically through the utility’s normal gas supply cost recovery process.

Customers do not need to file paperwork or take any action to receive the refund. BGE said the savings came from a multi-year proceeding before the Federal Energy Regulatory Commission involving a proposed rate increase from Transcontinental Gas Pipeline Company, better known as Transco.

AI-generated illustration
AI-generated illustration

The deal matters because it does more than return over-collected costs. BGE said the settlement also prevents Transco from seeking further base rate increases before Aug. 31, 2027, giving Baltimore-area households and utility planners a stretch of relative stability after a period of rising energy supply costs.

Data visualization chart
Data Visualisation

BGE President and CEO Tamla Olivier said the company takes its responsibility to protect customers seriously, especially as Maryland families and businesses face pressure from high energy costs. That concern was already visible earlier this year, when Olivier said customers were seeing bills ranging from a few hundred dollars to more than $500 and said affordability was a key focus for the utility.

In that earlier interview, Olivier also described a separate proposal for a 6% discount for customers with both gas and electric service, or 3% for customers with only one service, which she estimated could amount to about $200 to $800 a year. The pipeline settlement is different, but it lands in the same affordability fight, giving customers a smaller, automatic break on the gas side of the bill.

Across Exelon’s three natural gas utilities, the combined result topped $13 million in refunds and lower long-term costs. BGE’s share was about $500,000, while Delmarva Power was set to get about $3.6 million and PECO about $8.9 million. Exelon said the work also helped avoid more than $12 million a year in additional costs, underscoring how rate cases over transportation charges can ripple through household budgets long after the paperwork is filed.

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