Central PA News

Legislation to allow electric distribution companies to invest in and potentially own baseload generation was unveiled by Rep. Perry Stambaugh (R-Perry/Juniata). This proposal aims to strengthen Pennsylvania’s energy future by addressing the generation resource shortfall unsolved by the current competitive power supply market.

The bill seeks to require electric distribution companies that choose to invest in or construct baseload power plants to pass along to consumers any net revenue from selling electricity on the open market. This comes as Pennsylvania is part of the 13-state power grid, PJM Interconnection.

Rep. Stambaugh said, “We are facing a serious shortfall in generation resources that the competitive power supply market has not been able to solve.” He highlighted PJM Interconnection forecasts that predict the retirement of up to 40,000 megawatts (MW) of dispatchable baseload generation over the next ten years without firm replacement plans, coupled with an expected increase of 62,000 MW of new load.

“It’s clear immediate action needs taken to keep a safe, reliable, and affordable supply of power flowing," Stambaugh added, warning of the potential consequences, including record-high electric bills and possible power outages.

Stambaugh believes his moderate approach offers electric distribution companies the flexibility needed to secure the Commonwealth’s energy future while working with the competitive power supply market. “Electric distribution companies are on the front lines of making sure consumers have the energy they need to power homes and businesses. Letting them invest in generation once again, if they so choose, is just part of that commitment,” he said.