Pepco “Climate Ready Pathway” Multiyear Rate Plan (CY 2024-2026) – FC 1176

Current Status

The DCPSC convened a legislative-style hearing on July 30, 2024, for Pepco to present oral arguments on FC 1176 rate case issues that they believe are fundamental to the Commission’s decisions in the matter. Key topics included Pepco’s investment strategies, alignment with the District’s climate goals, communication with the District, and the merits of traditional versus multi-year rate cases.
 

Overview

Pepco filed an application on April 13, 2023, for approval to increase rates through the implementation of a new Multiyear Rate Plan (MRP), also referred to as the “Climate Ready Pathway,” for its electric distribution service in the District of Columbia for the years 2024 through 2026. The Commission published a Public Notice of the Pepco application in the D.C. Register on May 5, 2023.

If fully approved by the DCPSC, a residential customer on the Standard Offer Service (SOS) rate using an average of 614 kWh per month would see a total monthly bill increase on average for each year of the MRP as follows:

Pepco is requesting a cumulative rate increase of $186.5 million in base distribution revenue based on a return on equity of 10.50% for the investments it intends to make from 2024 to 2026.

The DCPSC held three community hearings across the District (in Wards 8, 5, and 2) in March/April 2024 to gather input from residents and other stakeholders in this pending rate case.

Watch a full recording of the April 3, 2024, hearing held in the DCPSC Hearing Room:

Procedural schedule

The DCPSC will follow the schedule below for FC 1176. The Commission may modify, update, or otherwise edit this schedule through additional orders throughout the rate case.