The Public Utility Commission Thursday approved a $1.3 million settlement related to an alleged violation of Act 129 electric consumption reduction requirement by West Penn Power Company.

The Commission voted 5-0 to approve the settlement among the company, the Office of Consumer Advocate and the PUC’s independent Bureau of Investigation and Enforcement.

West Penn must pay the civil penalty within 30 days and will not seek to recover any portion of the settlement payment from ratepayers or in rates. The civil penalty would be paid to the state’s General Fund.

Act 129 of 2008 required each electric distribution company with at least 100,000 customers to submit an energy efficiency and conservation plan that would reduce usage by 1 percent by May 31, 2011, and by 3 percent by May 31, 2013. Peak usage also was to be reduced by 4.5 percent by May 31, 2013.

Pursuant to Act 129 and the Commission’s 2009 Implementation Order, West Penn’s reduction targets were 209,387 MWh by May 31, 2011, and 628,160 MWh by May 31, 2013. West Penn reported energy savings of 90,520 MWh on May 31, 2011, and 688,089 MWh by May 31, 2013. BI&E alleged West Penn missed its May 2011 target.

West Penn did meet its 3 percent reduction requirement for May 2013. The company admitted no wrongdoing in the settlement.

West Penn reported in November 2011 that it reached its 1 percent energy reduction target that month. It also achieved 119 percent of its 4.5 percent peak demand reduction goal.

For more information, visit the PUC’s Act 129 webpage.

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