Maryland utilities seek to return $160M in tax refunds to customers

BALTIMORE, Md. — BGE, Delmarva Power and Pepco are seeking regulatory approval to return approximately $160 million in tax refund benefits to Maryland customers.

The proposed benefits stem from a recent Maryland court decision involving state taxes previously collected from utilities. As a result of that decision, the state is expected to return tax overpayments and related interest to utilities. BGE, Delmarva Power and Pepco say they are working to ensure their portion of those funds is passed along to customers.

The total expected benefit breaks down as approximately $110 million for BGE customers, $20 million for Delmarva Power customers and $30 million for Pepco customers.

The move is pending collaboration with the State of Maryland and will be reviewed by the Public Service Commission. The companies will work through the regulatory process with Maryland leaders and the PSC to determine the timing, structure and customer allocation of the refund benefits.

"We know many Maryland families and businesses are feeling pressure from higher energy costs, and we are committed to doing everything we can to help," Valencia McClure, Exelon SVP of Governmental, Regulatory and External Affairs, said.

"Providing these tax savings to customers is another example of The Exelon Promise in action, taking practical steps today to provide relief, protect customers and work with policymakers and regulators on long-term solutions that keep energy safe, reliable and affordable," McClure said.

Each utility will provide additional customer information after the regulatory process determines how and when the benefits will appear on customer bills. Customers do not need to take any action at this time.

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