Pennsylvania Power & Light Co. continued its transition to a competitive marketplace Friday (12/13) when it asked the state Public Utility Commission to approve rate structure changes that would eliminate a fluctuating energy charge on customer bills.

The requested changes will result in no change in the total charges to customers, said Paul E. Russell, PP&L's associate General Counsel. PP&L is requesting that the PUC permit it to roll the current energy cost rate, a separate component of customer bills, into the base rates that it charges for service.

"The energy cost rate has been in place to allow utilities to adjust customer bills annually to reflect the changes in the cost of fuel needed to produce electricity," said Russell. "The customer choice legislation signed by Gov. Ridge earlier this month places a cap on rates beginning next month. That cap means that it is no longer appropriate to have this separate fluctuating charge on customer bills."

The company also is requesting approval to roll all state tax charges into base rates. Today, some state taxes are shown on customer bills as a separate charge.

Russell said the filing is one more step in providing customers with choices in their electricity purchases.

The legislation signed by Gov. Ridge on Dec. 3 will give Pennsylvania electricity customers the opportunity to choose the company that generates their electricity beginning as early as Jan. 1, 1999. As part of a transition plan laid out in the bill, a rate cap will be imposed on all electric utilities effective Jan. 1, 1997.