In a recent session of the Public Service Commission (PSC) held on February 9, 2024, critical discussions unfolded regarding the rising costs of utilities and the increasing number of service terminations in Maryland. As the meeting progressed, officials highlighted alarming trends in electricity and natural gas prices, which have surged significantly over the past year. In November 2023, Maryland's average electricity price reached 17.4 cents per kilowatt hour, surpassing the national average of 16.2 cents, raising concerns among residents and lawmakers alike.
The PSC presented data illustrating the fluctuations in utility arrearages, particularly during the COVID-19 pandemic. After peaking in October 2020, arrears saw a temporary decline due to state assistance but have since risen again, reaching new heights in March 2023. This troubling trend indicates that many Marylanders are struggling to keep up with their utility bills, a situation exacerbated by the economic impacts of the pandemic.
Utility terminations have also become a pressing issue. The PSC reported that in August 2023, the number of utility terminations hit a five-year high, with 19,228 cases recorded. This spike follows the lifting of a moratorium on terminations that was in place during the pandemic, leading to fears of increased hardship for vulnerable populations.
Another significant topic of discussion was the growing number of complaints against third-party retail energy suppliers. The PSC noted a steady stream of complaints, particularly concerning practices like "slamming," where customers are switched to a different supplier without their consent. The commission has responded by launching a maximum enforcement initiative aimed at addressing these complaints more effectively.
Data presented during the meeting revealed that complaints against third-party suppliers have remained consistent, with 446 complaints filed in 2022 alone. The PSC has taken enforcement actions against various suppliers, resulting in over $2.5 million in civil penalties and customer refunds since 2010. Most recently, a settlement was reached in January 2024, imposing a $150,000 penalty and ordering $400,000 in refunds to affected customers.
As the session concluded, the PSC emphasized the need for ongoing vigilance and action to protect Maryland consumers from rising utility costs and unfair practices by energy suppliers. The discussions underscored the importance of regulatory oversight in ensuring that residents have access to affordable and reliable energy services, a challenge that continues to evolve in the face of economic pressures.