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Commission accepts Columbia Gas tariff compliance filing and approves Warmwise low‑income program using carryover funds

3847954 · May 29, 2025
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Summary

Staff presented Columbia Gas of Maryland’s compliance tariff pages and a Warmwise low‑income weatherization proposal. The commission accepted the tariff pages and approved the Warmwise program for 2025–26 using $73,138 in carryover funds, with a proposed two‑year cycle to be reevaluated before year two.

The Public Service Commission accepted Columbia Gas of Maryland Inc.’s revised tariff pages submitted in compliance with commission order number 91621 and approved the utility’s Warmwise low‑income usage‑reduction program and related EE rider for the 2025–26 program year.

Staff told the commission the public utility law judge’s proposed order had directed Columbia to file tariff pages reflecting an increase in natural gas distribution rates of no more than $7,819,559, and that staff accepted the recommended rate design. Staff also reported a revenue requirement figure stated in the record; that figure as read on the record appears inconsistent with the smaller ‘‘increase’’ number and is not further clarified in the transcript.

On the Warmwise program, Columbia proposed to continue the EE rider at $0.00 per therm, which would cause no change to customer bills for the upcoming program year. Staff said Columbia plans to use $73,138 of unspent funds from the 2024–25 program year as the total budget for 2025–26; Columbia forecasts it can weatherize about 15 homes using the carryover funds. Columbia asked for authorization to run a two‑year program cycle and forecasted a $90,000 budget for the 2026–27 program year to weatherize an additional 18 homes, subject to a reevaluation prior to the second year.

The Office of People’s Counsel told the commission it agreed with staff’s recommendation to continue the surcharge at $0 and to use carryover funds, and supported the two‑year cycle if the commission required Columbia to reevaluate the budget before year two. OPC asked that the commission include in any approval a caveat: if the commission decides in the future to end incentives for gas appliances (as OPC has recommended in other dockets), Columbia should revise year‑two program plans to eliminate incentives for gas appliances and refile an updated plan. OPC argued the program’s existing furnace‑replacement subsidies can lock in fossil‑fuel appliance adoption and recommended prioritizing weatherization projects instead of furnace replacement where feasible.

Columbia’s customer outreach lead said the utility will rely on an established weatherization partner (Allegheny HRDC) and already has about 15 customers referred and prescreened for the program. Columbia also noted that crews remain focused on storm restoration in affected towns and that non‑program activity in those areas is paused.

The commission approved Columbia’s tariff pages for service on or after April 22, 2025, and approved the Warmwise program filing and revised EE rider effective May 30, 2025, consistent with staff’s recommendations and the OPC caveat request noted on the record.

Ending Staff will monitor the program delivery and the company will refile the year‑two program budget for commission review before the 2026–27 program year begins.