Protecting ratepayers<\/p>\n
Other legislation aims to protect ratepayers from predatory billing and other practices that impact residents.\n<\/p>\n
Pennsylvania law allows utilities to recover costs and earn returns on their system upgrades. However, an American Economic Liberties Project report <\/a>found that utilities have earned returns above their financing costs, and that practice has driven rate increases.\n<\/p>\n Fiedler announced legislation yet to be introduced that she says would ensure rates of return that investor-owned utilities earn from infrastructure expansion are equal to the demonstrated cost of capital.\n<\/p>\n \u201cThis bill does not tell utility companies that they can\u2019t make profits. It\u2019s simply saying, \u2018Please, let\u2019s recognize how hard it is for regular working people in Pennsylvania, and make sure the profit that you are making is in line with returns you could expect elsewhere,\u2019\u201d she said.\n <\/p>\n The Democratic lawmakers have proposed several other measures that aim to prevent independent electricity suppliers from taking advantage of ratepayers who opt to purchase their power on the retail market through PAPowerswitch.com. State Rep. Heather Boyd, D-Delaware, has introduced legislation<\/a> that aims to protect these customers from hidden fees, unclear contract renewals that have variable rates and electricity plans they didn\u2019t sign up for.\n<\/p>\n The legislation, which awaits committee consideration, would strengthen notice requirements before contracts expire, require customer choice when contracts end and eliminate \u201cjunk fees.\u201d\n<\/p>\n \u201cToo many people sign up for electric contracts, expecting one price, a term, and one set of rules, only to get hit later with confusing notices, surprise fees or automatic rollovers that cost more,\u201d Boyd said.\n<\/p>\n \u201cYour electric bill shouldn\u2019t read like a trap. Pennsylvanians are already juggling higher costs at the grocery store, at the pharmacy, at the pump. So the last thing they need is a utility bill full of fine print, or gotchas.\u201d\n<\/p>\n PECO\u2019s spokesperson said the utility \u201cstrongly supports\u201d Boyd\u2019s legislation.\n<\/p>\n The lawmakers are also calling for banning so-called \u201cweather normalization adjustments.\u201d The legislation<\/a> was introduced almost one year ago, but has yet to be considered in the House.\n<\/p>\n