The Pennsylvania Public Utility Commission (PUC) this week approved a request from PPL Electric Utilities to raise distribution rates beginning Jan. 1 by $137.1 million (7.18 percent), approximately $27.3 million less than the company had requested.

An important element of the PUC’s decision was to allow the utility to extend funding for its Sustainable Energy Fund another two years. Money for the fund was due to expire on December 31, 2004.

The Sustainable Energy Fund makes investments in renewable energy, clean energy technologies, and energy conservation among residential, commercial, institutional, and industrial customers in the PPL Electric Utilities service territory and beyond.

The PUC approved the increase 4-0 on a motion by Chairman Holland (link to motion). However, Commissioner Robert K. Bloom filed a descending opinion on the method for funding the Sustainable Energy Fund. (Link to Vice Chairman Robert K. Bloom’s statement.)

The action this week marks the first distribution rate increase for any of the state’s electric companies since 1997, when rates were capped as part of the electric competition law.

NewsClip: PUC Lets PPL Raise Rates

12/3/2004