BGE rate increase plans could add about $8 monthly to electricity bills for more than 1 million Maryland customers. Baltimore Gas and Electric submitted its request to state regulators on July 2, as reported by the Baltimore Chronicle.
The full proposal would raise an average customer’s annual electric costs by approximately $100. However, no increase can begin without approval from the Maryland Public Service Commission.
What the BGE rate increase would fund
BGE says the request reflects a sharply reduced investment program. Spending would focus on essential maintenance, substations, grid reliability and urgent safety risks.
The company outlined several elements within its filing:
- maintenance of electricity distribution equipment;
- repairs and upgrades at substations;
- work intended to reduce outage risks;
- a new customer assistance program;
- FlexPay for eligible households.
FlexPay would let participating customers prepay for expected electricity use. BGE presents the program as a budgeting tool, rather than a discount.
Tamla Olivier, BGE’s president and chief executive, said affordability concerns had delayed the filing. She said planned investments were reduced to bare-bones maintenance required by the system.
How much Maryland customers could pay
The proposed impact applies to electric delivery charges. These charges cover the network carrying electricity into homes and businesses.
| Proposed change | Estimated impact |
|---|---|
| Average monthly increase | About $8 |
| Average annual increase | About $100 |
| Customers affected | More than 1 million |
| Possible effective date | Early 2027 |
The requested increase is not final. Regulators may approve a smaller amount, reject parts of the proposal or deny it entirely.
Maryland’s Office of People’s Counsel reports that BGE customers already face higher electricity supply costs during summer 2026. The agency estimates BGE’s summer supply price at about 12.5 cents per kilowatt-hour.
Consumer advocates challenge BGE spending and profits
Maryland PIRG Foundation argues that BGE’s electric delivery rates have nearly doubled since 2010. Gas delivery rates have reportedly tripled during the same period.
The organization also says BGE profits rose from $147 million in 2010 to $578 million in 2025. Senior adviser Emily Scarr urged regulators to examine company spending and its requested profit rate.
Consumer advocates say the timing is especially sensitive. Maryland households are using more electricity during extreme summer heat, while energy costs remain elevated.
BGE counters that continued investment delays could produce more outages and longer restoration periods. The utility also warns that emergency repairs may become more expensive than scheduled maintenance.
When the Maryland PSC will decide
The Maryland Public Service Commission will review financial records, investment plans and customer impacts over the coming months. The proceeding will also include opportunities for public comment.
New rates could take effect only after the commission issues a formal order. BGE expects that decision in early 2027.
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