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PUC Approves Utility’s Rate Case Settlement That Includes Definition of “Billing Demand” For Some Default Service Customer Classification

Dockets: R-2025-3054394
Category: Pennsylvania

The Pennsylvania Public Utilities Commission (PUC) issued an opinion and order approving language in Citizens’ Electric Company of Lewisburg rate case. 

As previously reported on November 13, 2025 an Administrative Law Judge (ALJ) issued a recommended decision that partially approved the non-unanimous joint petition for settlement that included the adoption of Citizen’s definition of “Billing Demand.”

As reported previously, “[t]he ALJ had concluded that Citizens’ proposed tariff change to the definition of Billing Demand is a reasonable response to the changing use of Citizens’ distribution system and protects the interests of its customer base. Further, the ALJ found that the Solar Projects’ arguments regarding cost causation were not persuasive. The ALJ determined that, even though the proposed tariff change to the definition of Billing Demand may increase costs for customer-generators and reduce compensation, it does not by itself mean that the change is unreasonably discriminatory.”

The Commission’s order adopts the ALJ’s recommendation to approve the Company’s originally proposed modification to its definition of “Billing Demand,”

The PUC’s final order states that “Billing Demand” shall reflect the Customer’s use of the distribution system, which will be the greater of Gross Generator Rating (kW(AC)) as stated in the generator interconnection application or the maximum demand of the customer during any 15-minute period during the current month.

For distribution rate classes GLP-1 and GLP-3, “Billing Demand” shall be defined in Rule 26(a), but not less than 50% of the highest Billing Demand during the preceding eleven months.

R-2025-3054394
(Citizens Electric Company – Rate Case)