BGE Stabiliazation Deferrement

[kevinyates]

Does anyone know when BGE will collect the full %100 percent of the rate increase that went into effect in July? Currently they are collecting %15 of the increase as directed by the state of Maryland.

KY

[dpb]

I'd assume if you call the info number on your billing, they'll be happy to tell you or the state corporation commission undoubtedly would tell you the status of any directives they've given if that's the holdup...or quite possibly a search either or both locations' web sites might well provide the info directly.

[dpb]

Looks like beginning in July they'll add the full fuel surcharge and phase in some others -- there's a set of links there explaining options and law requirements...took about a minute to type in and follow the link "energy legislation"...

[scott21230]

Essentially the law requires you to take out a 10 year loan, with 5% interest to pay back the deferral. Of course our Democrat state legislature isn't going to let you opt out of this bad deal.

[Kyle]

Good point about how easy it is to find the info at BGE's website, but I'm afraid you're off by a year on your answer. The page you referenced was from last Spring - the rate hike began July 1, 2006

you're already seeing some of the effects, though much apparently is being deferred. To answer kevinyates' original question:

"What the new law does, however, is require BGE to cap the increase in electric bills to approximately 15 percent for 11 months for all of its residential electric customers. Market prices will phase in at the customer's option, between June 2007 and January 2008, under a timetable and plan to be determined by the Public Service Commission."

Which raises another question: if you've been receiving credits since July 2006 and move out of BGE's service area before June 2007 or so, do you escape having to pay what BGE deferred, or do they hit you with it on your last bill?