West Penn Power crews install a cross arm on a new pole just outside the city of Butler to upgrade an existing power line with new equipment.submitted photo August 2022
The Pennsylvania Public Utility Commission voted 5-0 Thursday, April 25, to investigate FirstEnergy’s rate increase requests, which seek an annual increase in revenues of $503.8 million — a 34% increase.
Penn Power, a subsidiary of FirstEnergy, has requested an increase of $55 million which, if approved, would increase the typical residential customer’s bill by $21.30, or 11.8%, for a new monthly total bill of $201. The bill for an average commercial customer would increase by $61, or 4.1%, for a total bill of $1,549.
West Penn Power, another subsidiary or FirstEnergy, has requested an increase of $169 million which, if approved, would increase the bill for a typical residential customer by $16.61, or 10.6%, for a new monthly total bill of about $173. The bill for an average commercial customer would increase $61, or 4.6%, for a total bill of $1,374.
FirstEnergy spokesman Todd Meyers said it has been seven years since West Penn Power and Penn Power last increased base rates. Since that time, inflation has made it more costly to pay employees and buy new equipment to reinvest in systems.
A news release from FirstEnergy said the increases in revenue would be used to modernize electrical systems. Costs of modernizing the systems come from the installation of automated technologies, removal of more than 2.4 million trees and overhanging limbs along 14,000 miles of line over the next 10 years, and eliminating service fees for customers to pay their electric bills by credit card.
“The work we are doing makes a positive difference,” said Scott Wyman, president of FirstEnergy’s Pennsylvania operations. “Installation of new equipment coupled with proactive tree trimming has helped reduce the frequency of electric service interruptions experienced by our Pennsylvania customers by 14% since 2019.”
A news release from the PUC said the rate increase requests are now suspended for up to seven months from the proposed effective date of June 1, and will be assigned to the PUC’s Office of Administrative Law Judge.
Meyers said FirstEnergy will participate in public meetings and engage key stakeholders to ensure an open and thorough review of the company’s proposal. Consumers can contact the commission with their views on the rate increase by writing letters, completing an online form or calling the consumer hotline at 1-800-692-7380. Comments received are placed in the commission’s public file on the case, according to a fact sheet from the PUC.
A final PUC decision on the FirstEnergy rate increase request is due by Jan. 1.
