Sponsor urges task force to study Maryland utility restructuring as rate pressures mount

House Environment and Transportation Committee · February 3, 2026

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Summary

Delegate Nick Allen told the committee HB 54 would create a task force to examine Maryland's electric utility structure and affordability, while environmental and consumer groups urged a favorable report to consider alternatives to the status quo at PJM.

Delegate Nick Allen urged the Environment and Transportation Committee to give HB 54 a favorable report, saying the measure would create a task force to take a holistic look at Maryland’s electric utility industry and options to lower customer bills. Allen noted the last major restructuring was in 1999 and said rate increases have outpaced inflation, making a fresh, systemic review necessary.

Jamie DeMarco of Chesapeake Climate Action Network and Dave Arndt of a climate justice coalition supported the bill, saying it would place all options on the table and help protect ratepayers from rising distribution and capacity costs. They cautioned against returning to vertically integrated utility ownership of generation, arguing that would risk monopolistic incentives and higher long‑term costs.

The committee offered brief colloquy and clarifying questions but did not take action at the hearing.

The sponsor said he was open to amendments related to task force membership; multiple witnesses recommended ensuring labor and consumer representatives have seats at the table.