As the summer heats up, some Maryland utility customers may catch a break.
Maryland Gov. Wes Moore announced a new $19 million initiative on Thursday to lower energy costs for low- to moderate-income residents. BGE residential customers will get the largest share of relief, at around $15 million, which would be a one-time grant of $250 to $750 per eligible customer.
The initiative is fueled by a partnership with Baltimore Gas and Electric, Delmarva Power, Pepco and nonprofits across the state. It comes as Marylanders’ frustrations over rising energy bills have mounted in recent months.
“Not a day goes by without me hearing from Marylanders about their real and justified concerns over steep bill increases,” Moore said in a statement on Thursday. “While this is an important step forward, it will not be the last. Marylanders are counting on us to put the interests of the people first.”
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United Way of Central Maryland, a nonprofit providing direct services to individuals and families in need in the Baltimore region, will distribute the relief program to qualifying BGE customers starting on July 1.
“As summer heat intensifies and energy costs rise, we’re proud to serve as administrator of BGE’s Customer Relief Fund that will help keep the power on for our neighbors in need,” Franklyn Baker, president and CEO of United Way of Central Maryland, said in a statement.
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The Salvation Army, Harford Community Action Agency and Shore UP! will also distribute grants in their respective communities.
Grants are available to customers who are asset limited, income-constrained and employed (ALICE), or meet the limited- or moderate-income requirements.
ALICE “represents the growing number of families who are unable to afford the basics of housing, child care, food, transportation, health care, and technology,” according to United for ALICE, a movement led by the United Way of Northern New Jersey. “These workers often struggle to keep their own households from financial ruin, while keeping our local communities running.”
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Qualified customers must also have a past-due BGE bill, among other requirements. If approved, the grants will be credited to the BGE customer’s account.
“At BGE, we recognize the real and growing challenges our customers face due to rising energy costs,” said Tamla Olivier, president and CEO of BGE. Olivier was named CEO of BGE in April and stepped into her new role on May 1.
BGE customers can apply and learn more about the Customer Relief fund at BGE.com/relief or call 800-685-0123.
This is the kind of relief Baltimore residents and council members asked for at a February Baltimore City Council meeting after BGE announced customers could expect a 12.4% increase in gas and electric bills by June.
Councilman Antonio Glover expressed concern about low-income residents at that time. One customer, who said she was on a fixed income, worried about having to choose between heat and oxygen.
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“When we talk about safety and things of that nature, we gotta also think about the burden we’re putting on low-income families,” Glover said at the time.
Most of the frustrations were over natural gas expenses, but that outrage has extended to fast-rising electric bills.
Another increase hit Maryland ratepayers on June 1, sparked by changes in the supply of electricity to the state. This change, which caused “grave concerns” for Maryland legislators in May, could look like a $16 monthly increase for at least the next year.
But right before the start of the increase, the Maryland Public Service Commission issued an order requiring BGE to mitigate the effects by shifting “recovery of some supply costs to lower-usage months over a six-month period.”
Maryland ratepayers can also expect a $81-per-household rebate, thanks to the Next Generation Energy Act, which passed in April and was signed by the governor on May 20.
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For now, the Customer Relief Fund will provide temporary refuge for customers who are most affected by the state’s energy crisis.
“This means a mom in Dundalk doesn’t have to choose between paying the electric bill or putting food on the table,” Baker said. “It means older adults in Westminster can stay safe and cool during heat waves. And it means kids in Columbia can get a warm dinner or a cool beverage thanks to a working stove or fridge.”
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