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Maryland Multi-Year Plan

Pepco Maryland's multi-year plan is designed to continue to improve the local energy grid and build a smarter, stronger, cleaner energy future for our 591,000 electric customers in Montgomery and Prince George's counties, while assisting the region in the long-term recovery from the pandemic.

We filed the plan for review with the Maryland Public Service Commission (PSC) in October 2020 and the Commission approved the plan with modifications in June 2021.

Customer bills will increase starting on April 1, 2022. More information on the new multi-year plan rates resulting from the Commission's June 2021 order is available in the bill impacts section below.

Impact on your bill

  • In its order approving the plan, the PSC authorized Pepco to increase its rates in June 2021, April 2022, and April 2023.
  • Pepco had requested that certain tax benefits and adjustments be used to fully offset the June 2021 and April 2022 rate increases, and partially offset the April 2023 rate increase. The PSC's order uses these tax benefits and adjustments to fully offset the increase in June 2021.
  • In June 2021, customer bills reflected new 2021 delivery service rates as authorized by the PSC and were reduced by a tax credit offset authorized by the PSC. These credits represented tax benefits that are being provided back to customers on an accelerated basis so that there was no net increase in Pepco's delivery service revenues being charged on customer bills.
  • As authorized by the PSC, customer bills beginning in April 2022 reflect increased delivery service rates, but the increased rates will be partially reduced by certain tax benefits through March 31, 2023.
  • The PSC order requires customer bills to reflect the gross delivery service rate increase. The offsetting tax credit rate is shown as a separate line item on customer bills under the name "Pepco Federal Tax Credit".
  • Beginning in April 2022, the Pepco Federal Tax Credit line on customer bills will reflect a 25 percent offset of the delivery service rate increase that went into effect in June 2021 and in April 2022.
  • With the rate adjustment and offsets approved by the PSC, after April 2022 typical residential electric bills will increase by $3.48 per month as compared to last year. Individual customer bill increases may differ from these amounts, depending on household energy use.
  • The PSC did not approve delivery service revenue increases for telecommunication network service (Schedule TN) and time metered high voltage service (Schedule GT-3B) and thus these rates are not subject to the "Pepco Federal Tax Credit.

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