The Pennsylvania Public Utility Commission voted last week to reduce a request from PPL Electric Utilities Corporation to increase its base rate.

PPL Electric’s original rate request sought an annual revenue increase of approximately $356.3 million. Under the settlement, the company’s annual revenue increase is reduced to approximately $275 million.

For a residential customer using 918 kilowatt-hours of electricity per month, PPL Electric’s original proposal would have increased the total monthly bill by approximately 7% from $177.01 to $189.40. Under the approved settlement, the total monthly bill for that customer is projected to increase 4.9% to approximately $184.49.

The settlement also contains a wide range of provisions related to customer affordability, reliability, large-load customers and customer service improvements

The settlement addresses:

• Increased funding for PPL Electric’s Low-Income Usage Reduction Program (LIURP).

• Expanded outreach to customers regarding available assistance programs.

• Waiver of reconnection fees beginning July 1, 2027, for customers with household incomes at or below 150% of the Federal Poverty Level.

• Additional protections, procedural improvements and security deposit reforms related to low-income customers.

• Enhanced call-center performance monitoring and reporting.

• Expanded communications regarding payment arrangements and customer assistance programs.

• Continued evaluation of customer service performance and program effectiveness.

• Universal Service Costs Allocation increase to Rate LP-6 from $10 million to $11 million

The commission also approved provisions intended to strengthen oversight of electric system performance.

PPL Electric will file annual reliability accountability reports tracking approved reliability programs, expenditures, completed work, targeted locations and measurable reliability outcomes through its next base rate proceeding.

The settlement modifies PPL Electric’s Electric Vehicle Time-of-Use Charging Rebate Program, including revisions to program hours and continued incentives encouraging off-peak vehicle charging. The program will be reevaluated prior to any continuation beyond 2030.

The settlement also addresses emerging issues related to large-load customers and customer-generators, including new tariff provisions applicable to certain large-load customers, such as data centers and other high-demand facilities.

These provisions include long-term service commitments, minimum demand guarantees, financial protections intended to reduce cost shifting to existing customers and other measures designed to better align cost responsibility with cost causation.