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Multi-Year Customer Relief and Energy Infrastructure Investment Plan (2021-2023)


BGE’s multi-year customer relief and energy infrastructure investment plan is designed to aid in the region’s recovery from the COVID-19 pandemic while continuing to improve the energy delivery systems serving 1.3 million electric customers and more than 680,000 natural gas customers in central Maryland.

The plan details how BGE will make significant investments in the electric grid and natural gas system over the next several years. BGE filed the plan for review with the Maryland Public Service Commission in May 2020 and the Commission approved the plan with modifications in December 2020.

More information on the new multi-year plan rates resulting from the Commission's December 2020 order is available here.

Investing in better service for customers

Our energy infrastructure investment plan includes hundreds of projects and maintenance programs to improve the reliability and safety of the energy delivery service we provide customers—powering a smarter, stronger, cleaner energy future. That means:

  • Enhancing energy infrastructure supporting the growth of important economic development sites.
  • Installing smart automation equipment to more quickly identify and circumvent damage to the electric grid and reduce the frequency and duration of power outages.
  • Replacing outmoded technologies to improve reliability, enable greater adoption of solar energy and electric vehicle charging and to increase capacity in areas where redevelopment adds additional customer demand.
  • Preparing the grid for extreme weather with continued tree trimming and vegetation management to ensure power line clearance and improve reliability during extreme weather events.
  • Replacing outmoded natural gas pipeline segments using modern technologies and installing over-pressurization protection equipment to improve safety and reliability.

Powering the local economy

Our three-year plan is contributing to our region’s economic recovery from the COVID-19 pandemic. Here's how:

  • 26,700 jobs supported
  • $15.33 billion in economic impact
  • $2.76 billion in labor income
  • Steady employment and financial assurance for our 900+ suppliers

Supporting communities in central Maryland

In conjunction with our three-year plan, we're doing more to ensure our communities have the resources to serve those most in need. This includes:

  • Additional $1.5 million contribution to the Fuel Fund of Maryland.
  • $1 million in funding to county-administered business pandemic relief funds.
  • Pledging $15 million to establish the BGE Energizing Small Business Grants program, which will assist eligible small businesses with COVID-19 relief and recovery by providing grants of up to $20,000 each.
  • Expanding the BGE Workforce Collaborative infrastructure academy (approximately 600 local residents will be trained and assisted with job placement during the three-year plan).
  • Working with qualifying customers who contact us to structure flexible payment arrangements and connect them to energy assistance resources to help ensure the continuation of their service.

Our nonprofit contributions are made using shareholder dollars and are not reflected in customer bills.

Impact on your bill

  • In its order approving the plan, the Commission is allowing BGE to increase its rates in 2021, 2022, and 2023.
  • However, BGE had requested that certain tax benefits and adjustments be used to offset the rate increases entirely in 2021 and 2022 and partially in 2023. The Commission’s order uses these benefits and adjustments to fully offset the increase in 2021 but deferred a decision related to 2022 and 2023 to later in 2021.
  • Therefore, BGE bills will remain flat in 2021.
  • Beginning in January 2021, customer bills reflect new 2021 delivery service rates as authorized by the Commission, reduced by a tax credit offset as authorized by the Commission. These credits represent tax benefits that are being provided back to customers on an accelerated basis so that there is no net increase in BGE’s delivery service revenues being charged on customer bills.
  • The Commission order requires customer bills to reflect the gross delivery service rate increase and the offsetting tax credit rate being provided to customers through new riders (electric Rider 34 and gas Rider 18).
  • Beginning in June 2021, the gross delivery service rate and the offsetting credit will be shown in separate lines on customer bills. The offsetting credit is shown as BGE Federal Tax Credit on customer bills. Prior to June 2021, customers received the offsetting credit, but it was not printed as a separate line on bills.
  • Electric street lighting customers will continue to be billed for facilities and maintenance at the delivery service rate net of offset rate. Please refer to these tables for specific 2021 street lighting rates for facilities and maintenance.
  • Delivery service rates for private area lighting (Schedule PL) and gas interruptible electric generation customers (Schedule EG) are not changing in 2021 and thus are not offset by the tax credit rates in 2021. Delivery service rates for transmission voltage service (Schedule T) are decreasing in 2021 and are similarly not subject to the offset rates.

Plan resources

Regulatory materials and related external documents

BGE’s energy infrastructure plan was filed under the multi-year plan pilot announced by the Maryland Public Service Commission in February 2020. Prior to the pilot, utilities were allowed to seek recovery of investments only after those investments were made, and regulators authorized future rates using those historical costs. Multi-year plans give regulators the opportunity to review and approve planned utility investments and corresponding requests for rate changes in advance—a forward-looking approach to authorizing new rates, giving customers more certainty about future changes in their gas and electric bill.

? Baltimore Gas and Electric Company, 2021. All Rights Reserved.