Pennsylvania Power & Light Co. is reviewing written testimony submitted Friday (4/14) by the Pennsylvania Office of Consumer Advocate challenging elements of the company's request to increase base rates.
"We have not yet had an opportunity for a thorough review of the testimony," said James Marsh, PP&L's director of Corporate Communications. "As part of the rate case process we will file a point-by-point written reply early next month."
PP&L has asked the Pennsylvania Public Utility Commission to approve an increase totaling $261 million, or 11.7 percent. The amount requested varies by customer group. The average increase would be 15.3 percent for residential customers, 7.8 percent for commercial customers and 7.9 percent for industrial customers.
"We held the line on base rate increases for 10 years, so the decision to request one at this time was difficult. Still, the reasons for the increase are sound and the amount we requested is appropriate," Marsh said.
Because of PP&L's efforts to cut costs and improve efficiency, the price its customers pay for electricity is basically the same as it was in 1985. The cost of living in that time span has gone up more than 30 percent.
"We have demonstrated that base rate increases are a last resort for PP&L," Marsh noted. "But we must recover large increases in our business costs to assure that PP&L remains financially strong and able to continue its partnerships with local agencies to bring jobs to the region."
PP&L serves 1.2 million customers in 29 counties of eastern and central Pennsylvania.