Potomac Edison proposes 5.3% rate increase for Maryland customers

Residential electric rates in Maryland will remain the lowest among investor-owned utilities, despite a proposed rate adjustment, according to Potomac Edison, a subsidiary of FirstEnergy Corp.

Potomac Edison is proposing a rate increase of approximately 5.3% for the average residential customer, amounting to an increase of $52.8 million. The proposed adjustment is aimed at supporting continued investment in the electric system, including upgrades to aging infrastructure, grid modernization, and reliability improvement projects.

As of June 1, 2026, Potomac Edison's rates were already 25% lower than the average rate of its in-state peers. The utility plans to use the funds to enhance reliability and better prepare customers for severe weather events.

"Any increase in a customer's bill matters, and we take that responsibility seriously," said Chris Beam, President of West Virginia and Maryland at FirstEnergy. "This proposal is focused on necessary investments to strengthen the electric system, improve reliability, and better prepare our customers for severe weather."

Recent investments by Potomac Edison include the replacement and upgrading of poles, power lines, and other equipment to strengthen the system and improve its ability to withstand severe weather. Additionally, the utility has installed smart grid technology that can automatically reroute power during outages, reducing restoration times.

The proposed reliability improvement program includes targeted upgrades to power lines, underground equipment, and grid technology. These projects aim to install Supervisory Control and Data Acquisition (SCADA) technology, replace substation reclosers, add circuit ties and automation, and upgrade overhead power lines and replace aging underground cables. The utility also plans to remove high-risk trees near power lines to prevent outages, particularly in severe weather.

Potomac Edison serves approximately 295,000 customers in all or parts of Allegany, Carroll, Frederick, Garrett, Howard, Montgomery, and Washington counties in Maryland. The proposed rate adjustment must be reviewed and approved by the Maryland Public Service Commission before it can take effect.

The PSC's review process will provide an opportunity for public input and evaluation of the proposal's impact on customers. Potomac Edison is committed to managing costs responsibly while making necessary investments to maintain and improve the electric system.

Follow Potomac Edison at potomacedison.com, on X @PotomacEdison, and on Facebook at facebook.com/PotomacEdison.

FirstEnergy, the parent company, is dedicated to integrity, safety, reliability, and operational excellence. Its electric distribution companies serve more than six million customers in Ohio, Pennsylvania, New Jersey, West Virginia, Maryland, and New York, with transmission subsidiaries operating approximately 24,000 miles of transmission lines connecting the Midwest and Mid-Atlantic regions.