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Senate reverses on energy

OK's conservation measure and move to provide more low-income aid

April 03, 2008|By Laura Smitherman , sun reporter

"All I've ever wanted was a fair shake for the ratepayers," said Pipkin, the only senator to vote against the amendment. "Utility bills of the average person are too high. This is a tremendous missed opportunity."

But Sen. Catherine E. Pugh, a Baltimore Democrat, said a package of bills proposed by O'Malley, as well as a settlement recently reached between the state and Constellation Energy Group, would not only provide immediate rebates but also long-term solutions to the state's energy crisis, which state officials warn could lead to rolling blackouts by 2011.

"We will be able to go home and talk about rate relief," Pugh said. "This is not just about now. This is about the future."

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Under the Constellation settlement, which must be approved by the General Assembly, BGE utility customers are expected to get a one-time $170 rebate later this year. Constellation is the parent company of BGE.

Sen. Joan Carter Conway, a Baltimore Democrat and chairwoman of the Education, Health and Environmental Affairs Committee, said ongoing rebates for all residents funded by auction proceeds wouldn't be significant. Under the final version of the bill, those rebates amount to roughly $1 a month. Using the entire $140 million for rebates would reduce customer bills by about $5 a month.

Other administration bills moving through the legislature would require power companies to buy more renewable energy and would establish the governor's goal for reducing energy consumption in the state 15 percent by 2015 while requiring utilities to offer consumers financial incentives to conserve.

laura.smitherman@baltsun.com

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