On Tuesday, the Maryland Public Service Commission (PSC) gave a briefing on the basics of utility regulation, ratemaking, and third-party energy suppliers.
The presentation started with the basics:
- The mission of the Public Service Commission is to ensure safe, reliable and economic public utility and transportation service to the citizens of Maryland.
- Electric and gas utilities are granted exclusive franchise throughout Maryland and an opportunity to recover their prudently incurred costs at a fair rate of return.
- The Commission follows the guidelines directed by the legislature through the Public Utilities Article (PUA).
The presentation, given before the State Senate’s Education, Energy and the Environment Committee also addressed the role of the PSC as an independent state agency, energy policy, and other consumer issues as staff and the Commission Chair Fred Hoover answered questions from the Senators.
If you’re interested in learning more about how rates are set and utilities regulated, you can watch a recording of the presentation below.