Duquesne Light Company (DLC) is investing in the future to continue providing safe and reliable service to more than 600,000 customers in Allegheny and Beaver counties while also leading the region’s clean energy transition. In a filing submitted on March 20, 2024, to the Pennsylvania Public Utility Commission (PUC), the company requested a regulatory review of its distribution base rates to support essential investments required to modernize the electrical grid and secure the vibrancy, prosperity and competitiveness of the region that DLC serves.
DLC is requesting an overall rate increase of $101 million to enhance grid capabilities and reliability. As increased severe weather has created a greater need for resiliency, DLC’s proposal aims to strengthen the grid with more durable equipment and advanced technologies. The proposed rate changes would take effect on or before Jan. 1, 2025, and would be the first increases in DLC’s distribution base rates in three years. DLC is also seeking to transfer $32 million in surcharges, currently paid by customers for equipment upgrades, to base rates.
We get it. No one wants their bills to increase. Read more about details of our proposed investments, or click the image below for a summary of how our proposed rate increase will enhance service reliability, safety and resiliency.
In recent years, DLC has invested over $1.2 billion to improve the overall health and reliability of the company’s system. DLC is committed to maintaining the region’s critical infrastructure in service to customers through prudent investment and management of company resources. The current requested rates would support DLC’s continued investment in its distribution infrastructure and efforts to modernize the grid. The company is aiming to invest in upgrades to circuits and substations to meet customers’ evolving energy needs and continue providing safe, reliable and resilient service.
Included in these proposed investments are:
Behavioral Load Management Pilot
An optional rider available to residential customers who will be asked to reduce their consumption during peak events. Customers will receive an incentive of approximately $1 per kWh reduced via gift card.
Community Development Rider
New commercial and industrial customers, or those growing their operations, will receive a temporary 25% discount on their volumetric electric distribution demand charges during non-summer months. The discount decreases each year over five years.
EV Time-of-Use Distribution Pilot
Residential Managed Charging Pilot
An optional rider available to residential customers who own or lease an EV, have an L2 charging station or an EV that can be enrolled in the charging platform. Customers will receive a monthly $20 incentive when they participate in at least 50% of the demand reduction events.
DLC strives to keep costs affordable, taking every prudent step to ensure efficient, cost-effective deployment of resources while also providing customers with the most dependable service possible. The company will continue to offer programs and resources for those who need support with paying their electric bills.
Learn more about available tools and resources to support our residential customers.
We're here to help our small business customers with flexible payment arrangements, energy-saving tools and more.
As an electric distribution company, the rates we charge our customers for the distribution of electricity is regulated by the Pennsylvania Public Utility Commission (PUC) to assure reasonable rates for safe and reliable service to communities in Pennsylvania.
For more than 100 years, DLC has been committed to making consistent improvements to the electrical grid, which is why our region has one of the most reliable grids in Pennsylvania. The constant care and maintenance of the system coupled with our committed workforce are investments that enable us to continue providing safe and reliable service to our customers. As a trusted energy partner, we’re improving the way energy is delivered to our communities by strengthening and upgrading our grid to better serve our customers and lead our region toward a clean energy future. By requesting a regulatory review of our distribution rates, we are seeking essential funding for infrastructure and grid modernization projects and electrification programs.
DLC submits information to the PUC to show its existing revenue and the amount of revenue reasonably required to provide safe and reliable distribution service to customers. After the revenue gap is identified, the PUC determines a fair way for customers to share those costs.
The rates will allow us to maintain safe and reliable service while building a smarter, more resilient electrical grid for more than 600,000 customers in Allegheny and Beaver counties.
There is no required timeline to seek a rate review and this would be the first increase in distribution base rates in three years. As we prepare for the future, we’re continuously evaluating and evolving our plans to build more durable and smarter energy infrastructure that minimizes outages and maximizes service and efficiency. We’re investing in the future now to ensure we have a safe, reliable and resilient grid for years to come.
For customers in need of payment assistance, we offer many programs and resources, including our Customer Assistance Program, to help lower monthly electric bills and save energy. Learn more at DuquesneLight.com/HereToHelp.
We’re focused on operating as efficiently as possible. At DLC, we have a Continuous Improvement team dedicated to implementing programs internally to reduce costs, including process improvements to drive efficiency; sustainability initiatives to reduce consumption of resources; and the implementation of technology to improve the effectiveness of our workforce.
If the current requested rates are approved by the PUC:
Under the heading “Current Charges” on your electric bill, you will see the approved rates under “Distribution” and “Customer Charge.”
Base rates are made up of a customer charge and distribution charge. The customer charge is the monthly basic service charge, including costs for meter reading, customer billing, service equipment and other expenses. DLC incurs these expenses even during months when customers do not use electricity. The distribution charge is a basic service charge for delivering electricity over a distribution system to the home or business from the transmission system.
A surcharge is an incremental charge approved by the PUC outside of a rate review. As part of this rate review, the Distribution System Improvement Charge (DSIC) listed on your current DLC bill will be rolled into base rates.
If approved, the new rates will go into effect on or before Jan. 1, 2025.
We’re committed to being as transparent as possible during the rate review period. Should you have any concerns or questions, please contact us at 1-888-664-6579. If you have additional concerns, you can contact the PUC at P.O. Box 3265, Harrisburg, PA 17105-3265 or by calling 1-800-692-7380.