# BGE Rate Increase 2026: $8 a Month Request, Hearings Set

> BGE wants about $8 a month more from Maryland homes using 851 kWh, from early 2027 at the soonest. Not approved; public hearings start October 26.

- URL: https://solarexaminer.com/posts/bge-rate-increase-2026/
- Site: Solar Examiner (https://solarexaminer.com/)
- Category: News
- Published: 2026-10-21
- Last verified: 2026-10-21
- Author: Craig Leslie

## Key takeaways

- Baltimore Gas and Electric (BGE) has asked the Maryland Public Service Commission (PSC) for $156.1 million more a year in electric distribution revenue (Case No. 9888). It is a request, not an approved rate.
- BGE says a residential customer using 851 kWh a month would pay about $8 more, roughly 4% of the total bill. Maryland's Office of People's Counsel (OPC) puts it at about $8.58 a month at 900 kWh.
- OPC, the state's residential ratepayer advocate, says the PSC should cut BGE's distribution rates by $43.9 million instead, partly by setting the allowed return on equity at 7.3% rather than the 10.4% BGE wants.
- Public comment hearings are at 6:30 p.m. on October 26 and November 4 (virtual) and November 18 (in person in Baltimore). To speak on October 26, register by noon on October 22. Written comments are due December 23.
- Rates cannot change before the PSC rules. It expects to decide in January 2027.



Baltimore Gas and Electric (BGE) wants Maryland regulators to approve an electric rate increase that it says would add about **$8 a month** for a household using 851 kWh, roughly 4% of the total bill. Nothing is approved. The Public Service Commission (PSC) suspended the new rates while it reviews them, expects to decide in January 2027, and holds its first public comment hearing on **October 26, 2026**.

The request is Case No. 9888 and covers BGE's electric distribution (delivery) charges only, not the supply price or gas service. Pepco, Potomac Edison and other Maryland utilities are not part of it. Our [Maryland electricity rates and solar guide](/posts/maryland-electricity-rate-changes-2026/) tracks where each of them stands.

## The Request at a Glance

| Item | BGE's request | Status |
|---|---|---|
| Added distribution revenue | $156.1 million a year | Requested, filed July 2, 2026 |
| Residential bill at 851 kWh | About +$8 a month, about 4% of the total bill | BGE estimate, requested |
| Residential bill at 900 kWh | About +$8.58 a month, about $103 a year | OPC estimate of BGE's request |
| Residential distribution rate | About 4.9¢ → 5.8¢ per kWh | Requested (OPC figures) |
| Fixed customer charge | $10 → $11 a month | Requested (OPC figures) |
| Return on equity | 10.4% (now 9.5%) | Requested |
| All electric customers | About 2.8% increase in total electric bills | BGE estimate, requested |
| Earliest change | After the PSC's order, expected January 2027 | Suspended |

Sources: PSC Order No. 92503 (July 6, 2026); OPC Consumer's Guide (August 2026) and OPC bulletin (September 24, 2026).

The 4% figure is BGE's share of the **total** bill, which includes supply. OPC notes that the case changes only distribution charges, so on that part of the bill the change is much larger: about 17% on the per-kWh distribution rate, by OPC's count (dividing the rounded rates gives a slightly higher figure). OPC also says the 5.8¢ figure includes a reconciliation charge from BGE's previous case that runs through December 2027.

BGE has said the request is the "minimum level of investment" needed to keep its system safe and reliable, according to WYPR. The case uses a historical test year (the 12 months ended March 31, 2026, adjusted for known changes). WYPR reports that Maryland's 2026 Utility RELIEF Act put a one-year moratorium on forecast test years. BGE's previous case was a multi-year rate plan, according to OPC.

## What the Ratepayer Advocate Recommends

The Office of People's Counsel represents residential customers in Maryland utility cases. In expert testimony filed in late September, it asked the PSC to **lower BGE's distribution rates by $43.9 million** rather than raise them by $156.1 million. Its main points:

- **Return on equity:** set it at 7.3%, not the 10.4% BGE wants or the 9.5% BGE has now. OPC estimates its figure would save electric customers about $82 million a year, roughly $110 per customer.
- **Conduit costs:** deny about $80.5 million tied to BGE's 2023 conduit agreement with Baltimore City, which OPC is separately appealing in court.
- **Customer charge:** keep the fixed monthly charge at $10.
- **Storm rider:** reject a proposed mechanism that would raise rates automatically if storm costs run above expectations.
- **Prepaid service:** deny costs for a proposed prepaid service option that would allow automatic shutoffs, which OPC says would increase service terminations. BGE's filing includes a program it calls FlexPay that would let eligible customers prepay for expected energy use, according to WMAR. GCN reports that OPC's objection is aimed at FlexPay.

OPC also asked the PSC to trim IT and corporate costs it says mainly benefit BGE's parent company, Exelon, and to make sure large-load customers such as data centers pay their share.

These are one party's recommendations, not rulings. PSC technical staff and other intervenors may file different positions, and the PSC is not bound by any of them. The gap between OPC's position and BGE's request is about **$200 million a year** ($156.1 million + $43.9 million).

## Hearing Dates and How to Comment

The PSC has scheduled three public comment hearings, all starting at **6:30 p.m.**:

| Hearing | Format | Register to speak by (noon) |
|---|---|---|
| Monday, October 26, 2026 | Virtual | October 22 |
| Wednesday, November 4, 2026 | Virtual | November 2 |
| Wednesday, November 18, 2026 | In person: Frank O. Heintz Hearing Room, William Donald Schaefer Tower, 6 St. Paul St., 16th floor, Baltimore | November 16 |

To speak, the PSC says to email its administrative officer, Kimberly Schock, at kimberly.schock@maryland.gov by the deadline. Hearings stream on the PSC's YouTube channel. The November 18 hearing was first announced as virtual; the PSC later moved it to in person at OPC's request, according to GCN; WMAR also lists it as in person.

Written comments are due **December 23, 2026**, through the Public Comment Dropbox on the PSC's website or by first-class mail to the PSC's executive secretary. Include "Case No. 9888." OPC's September bulletin says evidentiary hearings, where the parties' experts are cross-examined, begin November 6.

## What It Means for Your Bill

These are our calculations from the published estimates. They are requested amounts, not approved rates.

- **BGE's example:** $8 a month × 12 = **about $96 a year** at 851 kWh a month.
- **OPC's example:** about **$8.58 a month, or $103 a year**, at 900 kWh.
- **Your usage:** the per-kWh part of the increase scales with how much you use; the $1 customer charge increase does not. Homes with electric heat that use well above 900 kWh in winter would see more in dollars, smaller users less.

If you buy supply from a retail supplier rather than BGE's standard offer, this case still applies to you: distribution charges are paid by every BGE electric customer regardless of supplier. Our [explainer on how rate cases work](/posts/how-electric-rate-cases-work/) covers why final decisions often land between the utility's request and the advocates' numbers.

## What It Means for Solar Owners

Maryland still credits net-metered rooftop solar at the full retail rate, supply and delivery together. That makes a distribution increase a small plus for solar owners:

- **Per kWh:** using OPC's rounded rates, the distribution charge would rise by about 0.9¢ per kWh (5.8¢ − 4.9¢). A system that offsets 7,000 kWh of your usage a year would avoid roughly **$63 a year** more than today (7,000 × $0.009), if the request were approved as filed. This is a rough estimate: it uses rounded figures and assumes every offset kWh would otherwise be billed at the full distribution rate.
- **Fixed charge:** the proposed $1-a-month customer charge increase, $12 a year, is billed whether or not you have solar. Our guide to [how fixed charges cut into solar savings](/posts/fixed-charges-and-solar-savings/) explains why that matters for payback.

If you are getting solar quotes now, ask the installer which BGE rates its savings estimate uses. A quote that assumes the full $156.1 million increase is assuming an outcome the PSC has not decided.

## What Happens Next

1. **October 26, November 4 and November 18:** public comment hearings.
2. **From November 6:** evidentiary hearings, according to OPC.
3. **December 23:** written comment deadline.
4. **January 2027:** PSC decision expected. The initial 180-day suspension that began August 1 runs to about January 28, 2027, by our count.

In western Maryland, Potomac Edison also has a distribution request pending; see our [Potomac Edison rate request report](/posts/potomac-edison-maryland-rate-request-2026/).

## Sources and Verification

| Important claim | Source | Status |
|---|---|---|
| $156.1 million request filed July 2, 2026; 10.4% ROE; about $8 a month (about 4%) at 851 kWh; 2.8% overall; rates suspended 180 days from Aug. 1, 2026 | [Maryland PSC Order No. 92503 (Second Errata), Case No. 9888, July 6, 2026](https://psc.maryland.gov/wp-content/uploads/2026/07/Second_Errata-to-Order-No.-92503-9888.pdf) | Verified |
| About $8.58 a month at 900 kWh; distribution rate 4.9¢ to 5.8¢; customer charge $10 to $11; current ROE 9.5% | [Maryland OPC, Consumer's Guide to BGE's Proposed Electric Rate Increase, Aug. 2026](https://opc.maryland.gov/Portals/0/Files/Publications/BGE%20Consumer%27s%20Guide%20-%202026%20-%20FINAL%20VERSION.pdf) | Verified |
| OPC recommends a $43.9 million decrease, 7.3% ROE, denial of $80.5 million in conduit costs, storm rider and customer charge increase; evidentiary hearings from Nov. 6 | [Maryland OPC bulletin, Sept. 24, 2026](https://content.govdelivery.com/accounts/MDOPC/bulletins/42c56f5) | Verified |
| Hearing dates, registration deadlines, Dec. 23 comment deadline | [Maryland PSC release via EIN Presswire, Oct. 2, 2026](https://www.einpresswire.com/article/947019783/maryland-public-service-commission-to-hold-three-virtual-public-hearings-on-bge-rate-case-application) | Verified |
| Nov. 18 hearing moved to in person in Baltimore at OPC's request; FlexPay is the prepaid program OPC opposes | [WMAR, Oct. 10, 2026](https://www.wmar2news.com/local/bge-customers-can-weigh-in-on-proposed-8-monthly-rate-hike-at-upcoming-hearings); [GCN, Oct. 17, 2026](https://gcn.com/maryland-watchdog-urges-rejecting-bge-156/22535) | Qualified (news reports; PSC notice not fetched) |
| Decision expected January 2027; no gas increase; "minimum level of investment"; one-year moratorium on forecast test years | [WYPR, July 8, 2026](https://www.wypr.org/wypr-news/2026-07-08/bge-requests-8-per-month-electricity-rate-hike-maryland-ratepayer-advocates-intend-to-challenge) | Qualified (news report) |

## Frequently asked questions

### How much will BGE electric bills go up?

If the PSC approved the request in full, BGE estimates a residential customer using 851 kWh a month would pay about $8 more, or about 4% of the total bill. OPC's estimate at 900 kWh is about $8.58 a month, or $103 a year. The PSC can approve all, part or none of the request.

### When would a BGE rate increase take effect?

Not before the PSC issues its order. The PSC suspended BGE's proposed rates for an initial 180 days from August 1, 2026, and has said it expects to decide in January 2027. Current rates stay in place until then.

### How do I comment on the BGE rate case?

Speak at a public comment hearing (register by email with the PSC by noon on the stated deadline) or send written comments by December 23, 2026, through the PSC's online Public Comment Dropbox or by mail. Reference Case No. 9888 on anything you send.

### Does the BGE rate case raise gas rates?

No. This case covers BGE's electric distribution rates. Local reporting on the filing said it includes no increase for gas customers.

### What does the BGE increase mean for solar owners?

Maryland credits net-metered solar at the full retail rate, so a higher distribution rate makes each kWh your panels offset worth a little more. The fixed customer charge, which BGE wants to raise from $10 to $11 a month, is billed whether or not you have solar.


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