BGE gas delivery rate hikes: state and local leaders fight back

Pressure is mounting for state leaders to intervene as gas delivery rates reach crisis levels.

BGE gas customers were hit with massive heating bills in January, drawing new attentention to efforts to rein in excessive spending on new gas infrastrucutre which Maryland PIRG and allies warn is a critical factor in rapidly escalating rates.

On Tuesday, February 4th, Maryland PIRG organized a press conference with state and local leaders at City Hall. Speakers called on the Maryland legislature to provide utility customers relief and to end wasteful gas utility spending by passing the Ratepayer Protection Act. Bill sponsor Del. Elizabeth Embry was joined by Maryland Attorney General Anthony Brown, People’s Counsel David Lapp, Baltimore City Council President Zeke Cohen and a statewide coalition of labor, consumer, and climate advocates to respond to BGE’s latest rate hikes.

The event was covered by the Baltimore Sun, The Baltimore Banner, Maryland Matters, WBAL, WBFF, WMAR, and WJZ.

Unfortunately, the STRIDE law of 2013, which was intended to improve the safety of our gas system, has gone terribly wrong.

The law lacks language requiring spending to prioritize safety. And thus, STRIDE has not delivered on safety promises. 

According to federal data, BGE’s hazardous leaks per year have increased from 3,000 in 2014 to over 4,000 in 2023, despite BGE spending $1.4 billion on its pipeline replacement project and passing those costs on to customers.

To make matters worse, the law also lacks critical safeguards on spending. As written, STRIDE effectively increases the incentive to spend wastefully – driving up our rates and utility profits, but without improving utility service in any proportion. Spending, rates, and profits are all climbing.

The Ratepayer Protection Act, which is sponsored by Del. Embry and State Senator Mary Washington returns STRIDE to it’s original intent: safety. The law adds lanaguage to require the utilities to prirotize addressing gas leaks through repair and replacement and adds consumer safegaurds to ensure spending is cost effective.

You can support the effort by telling your state elected officials to support the Ratepayer Protection Act: