Commission Debates Penalty Waiver for Gas Company with $1M Assessment

The Maryland Public Service Commission is considering a significant penalty for a utility company, with discussions centering on the appropriateness of a partial waiver of a previously assessed penalty. During the administrative meeting on September 3, 2025, officials debated the implications of granting a full waiver, ultimately leaning towards a partial waiver that would still hold the company accountable.

Commissioners expressed that while the company met certain threshold conditions for a waiver, a full exemption from the penalty would not be justified. Instead, a penalty of $500,000—representing 50% of the original million-dollar fine—was proposed as a reasonable compromise. This amount aims to ensure compliance and encourage proactive measures from the company in the future.

The conversation highlighted the complexities of maintenance and operational challenges faced by utility companies. One commissioner noted that despite the company's efforts to maintain equipment, unforeseen issues can arise, complicating the assessment of their compliance. However, there was a consensus that companies must prioritize investments that prepare them for service interruptions, especially given the lower rates they receive under interruptible service agreements.

As discussions progressed, the need for accountability and proactive measures from utility companies remained a focal point. The commission is expected to finalize its decision on the penalty in the coming weeks, emphasizing the importance of compliance to safeguard service reliability for all customers.