Utilities seeing tax cut told to reduce distribution costs


Under an order filed Thursday by the Public Utility Commission, 17 major utility companies across Pennsylvania to decrease their monthly distribution charges. 

In total, it will save customers $320 million. The PUC voted 5-0 to approve the order. Customers of Met-Ed will see the largest decrease, over 8 1/2%. PPL customers will get the lowest savings, just an 0.56% decrease.

Earlier this year, 15 State Representatives, including Rep. Seth Grove sent a letter to the PUC requesting these changes, in response to a decrease in the federal corporate tax rate this year. 

“I think there were, at that point, when we sent that letter, there were 39 states that already took the initiative to require their utilities to pass those savings on. So, we thought it was a good idea to send a letter and let them know there’s legislative support for doing that,” said Grove.

We reached out to both PPL and UGI, they said they are reviewing the PUC order. While customers will save money, they aren’t sure exactly what it will mean for the average customer. Rep. Grove says every little bit helps.

“Having something that you need on a day-to-day basis, provided at a lower cost, I think will pay off huge dividends for Pennsylvania residents,” said Grove.

Those rate decreases will go into effect on July 1st. 

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