Beatrice Lang
BGE, a subsidiary of Exelon, is a regulated utility in Maryland that provides electricity to its customers. While BGE offers various programs to help low-income households manage their energy bills, it has also been known to disconnect thousands of households annually for non-payment. During periods of high electricity demand, BGE encourages customers to reduce their usage through initiatives like Energy Savings Days and PeakRewards, which offer bill credits for conserving energy. This practice of cutting back electricity usage at specific times can help customers save money and manage their energy consumption.
| Characteristics | Values |
|---|---|
| Does BGE cut back electric at times? | Yes, BGE cuts back electric at times. |
| Reasons for cutting back electricity | High electricity demand, non-payment of bills |
| Assistance for low-income households | Office of Home Energy Programs (OHEP), Maryland Energy Assistance Program, Electric Universal Service Program |
| Other assistance programs | EmPOWER Maryland, 12- or 24-month payment plans |
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What You'll Learn
- BGE cuts electricity to thousands of customers annually for non-payment
- BGE offers incentives to reduce electricity usage during high-demand periods
- BGE customers can choose from approved third-party electricity suppliers
- BGE is one of Maryland's regulated utilities
- BGE cuts electricity to low-income households at higher rates during colder months
BGE cuts electricity to thousands of customers annually for non-payment
Baltimore Gas and Electric (BGE) has been reported to cut electricity to thousands of customers annually for non-payment. In 2011, tens of thousands of people who lost power during Hurricane Irene were billed for more power than they used. BGE explained that they use historical data to estimate how much electricity a house typically uses during that time of year. This estimation process can lead to discrepancies between the billed amount and the actual usage, especially in the case of prolonged power outages.
BGE has also faced criticism for its plans to increase electric bills starting in 2025. Maryland customers will see a $250 annual increase in their electric bills, translating to average monthly increases of around $21. These rate hikes are attributed to power plant closures, increased demand, and transmission constraints.
To address these issues, BGE offers various programs to help customers reduce their energy consumption and save money. For example, BGE Smart Energy has Energy Savings Days where customers can earn bill credits by using less electricity during specified periods. Additionally, the EmPOWER Maryland program provides funding to help customers reduce their energy consumption and greenhouse gas emissions.
It is important to note that BGE does not retain the money from the increased rates. Instead, the higher costs are passed on to electricity generators, such as power plants, through capacity auctions and market mechanisms designed to ensure a reliable energy supply. However, customers can explore alternative energy providers and fixed-rate plans to mitigate the impact of rising electric costs.
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BGE offers incentives to reduce electricity usage during high-demand periods
BGE offers various incentives for customers to reduce their electricity usage during periods of high demand. These incentives are part of BGE's Demand Response programs, which aim to balance customer energy use during peak periods, ensuring reliable energy delivery while rewarding participants for their efforts.
One such incentive is the Energy Savings Days program, where customers are encouraged to use less electricity between 2 p.m. and 6 p.m. on designated days. No enrollment is required for this program, and participants can earn $1.25 in bill credits for every kilowatt-hour saved compared to their normal usage. Customers enrolled in the PeakRewards or Connected Rewards programs may also receive additional rewards or higher bill credits for their participation in Energy Savings Days.
The PeakRewards and Connected Rewards programs offer further incentives to reduce electricity usage during high-demand periods. These programs can automatically adjust thermostats or cycle HVAC equipment during peak events, helping customers save energy without compromising their comfort. Participants in the Connected Rewards program may experience adjustment events outside of Energy Savings Days, ensuring a consistent and comfortable temperature in their homes.
Additionally, BGE offers the EmPOWER Maryland program, which is funded by a charge on customers' energy bills. This program provides resources and initiatives to help customers reduce their energy consumption and greenhouse gas emissions, ultimately saving them money. Since its inception in 2008, the EmPOWER Maryland program has saved $14.5 billion on installed measures, demonstrating its effectiveness in helping customers reduce their energy usage and costs.
Through these incentive programs, BGE encourages customers to play an active role in managing their energy consumption during high-demand periods. By participating in these programs, customers not only earn rewards but also contribute to a more sustainable future, helping to reduce the need for additional power plants and supporting Maryland's goal of achieving net-zero operational emissions by 2050.
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BGE customers can choose from approved third-party electricity suppliers
BGE, or Baltimore Gas and Electric, offers its customers the option to choose from approved third-party electricity suppliers. This is because BGE only delivers gas and electricity to its customers in its central Maryland service area; it does not supply the energy. Therefore, BGE advises its customers to research their options before choosing a third-party supplier, as supply is not a regulated service.
BGE's Electric Choice Program Unit supports qualified electricity suppliers conducting business in BGE's service territory. Customers can access information about BGE's electric customer segmentation, a map of its service area, and more on its Electric Customer Information page. BGE also offers an Energy Savings Day program, where customers can earn $1.25 in bill credits for every kilowatt-hour saved compared to their normal usage.
Customers should be cautious when giving out their personal information, as there have been complaints of accounts being switched to a third-party supplier without the customer's knowledge. BGE's website provides more information on approved suppliers and how to avoid potential scams.
BGE is a member of the PJM Interconnection, which means that each Load Serving Entity serving retail load within PJM is responsible for its portion of the supply and transmission. BGE's Electric Tariff documents are available to view and download, providing transparency and information for customers and suppliers alike.
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BGE is one of Maryland's regulated utilities
BGE, or Baltimore Gas and Electric, is a regulated utility in Maryland. As such, it is subject to various laws and regulations that govern its operations and customer service. One notable example of Maryland's utility legislation is the Next Generation Energy Act, which was passed in response to customer complaints about high gas and electric bills. This act provides utility customers with an $81-per-household rebate and increases utility companies' burden of proof for gas pipeline infrastructure projects and multiyear rate plans.
Another important aspect of Maryland's utility legislation is the focus on safety and infrastructure improvement. For instance, the state has addressed concerns about aging gas pipeline infrastructure by proposing to roll back STRIDE, a law that encouraged gas utility companies to replace rather than repair old pipes. BGE has made significant progress in replacing its aging gas pipelines, with about 500 miles replaced since 2014 and approximately 400 miles left to go.
Additionally, BGE offers its customers various energy-saving programs and incentives. For example, BGE Smart Energy encourages customers to reduce their energy consumption during periods of high electricity demand through its Energy Savings Days program. Customers can earn bill credits or even a $50 eGift card by lowering their electricity usage during these events. The EmPOWER Maryland program is another initiative that helps customers save money and reduce their energy consumption and greenhouse gas emissions.
It is worth noting that BGE's parent company, Exelon, is subject to specific regulations regarding the use of ratepayer money. For instance, investor-owned electric and gas companies like Exelon are banned from using Maryland ratepayer funds to finance private planes or for lobbying and sponsorship activities. These regulations aim to protect the interests of BGE customers and ensure that their payments are utilized appropriately. Overall, BGE operates within a framework of laws and regulations designed to balance the needs of the company, the safety and satisfaction of its customers, and the state's energy goals.
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BGE cuts electricity to low-income households at higher rates during colder months
Baltimore Gas and Electric Company (BGE) customers have been warned to expect higher electricity bills during the colder months. The utility company has attributed the higher rates to a variety of factors, including increased demand for power, the retirement of old coal-fired power plants, and infrastructure spending.
The company has recommended that residents set their thermostats at 68 degrees to conserve energy and reduce costs. However, for low-income households, the higher rates during the winter can be particularly challenging. According to Maryland People's Counsel David Lapp, households with gas heat are the most vulnerable to these rate increases.
In response to the rising costs, the Maryland Department of Human Services has reported an increase in the number of households receiving energy assistance from the state. The state has also cautioned BGE to slow down its infrastructure spending to avoid overburdening ratepayers with continuous rate increases.
While BGE offers programs like Energy Savings Days and PeakRewards to help customers reduce their energy consumption and earn bill credits, the unexpected price hikes during the colder months can still be a burden, especially for those on a single income. As a result, many residents are forced to take additional measures to cut costs, such as using laundromats instead of in-home washers and dryers, and lowering their thermostats to reduce energy usage.
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Frequently asked questions
Yes, BGE has been known to cut off electricity to customers who don't pay their bills. In fact, thousands of BGE customers are shut off for non-payment each year. However, due to the financial fallout of the pandemic, utilities offered customers more time to pay off past-due bills and provided 12- or 24-month payment plans.
BGE Energy Savings Days are scheduled during periods of high electricity demand. During these times, you can earn bill credits by using less electricity between 2 pm and 6 pm.
If you are unable to pay your BGE bill, you can apply for energy assistance through the Office of Home Energy Programs (OHEP). This is an income-based benefit that can help make your utility bills more affordable.
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