State hearing on power rate hikes

HARRISBURG - The Pennsylvania Public Utility Commission (PUC) was scheduled to hold a special public hearing Thursday to discuss the issues and possible policy actions that would mitigate potential future significant increases in electricity prices. Representatives of some 26 consumer agencies, electrical generation suppliers, utilities and alternative energy interests were scheduled to take part and provide testimony. Neither Pike County Light and Power nor its parent firm Orange and Rockland Utilities were scheduled to take part. According to its announcement, the hearing is a continuation of process the commission began in May to develop policies to mitigate higher electricity prices. More than 30 parties filed comments with the commission regarding ideas to assist in addressing potential significant price increases. Thursday’s hearing also was part of that process. The commission may use the information gathered during this process as a basis for action. The announcement noted that, “Most Pennsylvania electricity consumers are paying capped generation rates and will continue to do so until the end of 2009 or 2010. Recent events in Pennsylvania, Maryland and Delaware have shown that consumers of electricity can be exposed to sudden dramatic price increases when long-term generation caps expire. The long-term caps were agreed upon during state restructuring proceedings.” For recent news releases, or more information about the commission, visit www.puc.state.pa.us.