Public Service Commission approves MG&E arrearage-management pilot with reporting and cost-deferral conditions

The Public Service Commission on May 1 approved Madison Gas and Electric’s pilot arrearage management program, directing the utility to work with commission staff on performance metrics, require additional outreach before removing customers from the program, and permit MG&E to defer incremental 2025 program costs with escrow accounting treatment until current or future rate proceedings.

Commissioner Nikkashrini Nieto, who led the discussion, said the program responds to prior commission direction in MG&E’s most recent rate case and noted, “AMPs are not a new concept in Wisconsin.” She told the commission MG&E’s proposal is the fifth AMP the commission has considered and that the utility borrowed proven elements from earlier programs.

The commission described the approved pilot, called “Back on Track,” as voluntary and limited to customers with arrears balances of $300 or…