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UGI Electric Division on Monday filed for an $8.7 million annual base rate increase with the Pennsylvania Public Utility Commission.

In a press release, UGI Electric said the increase would pay for ongoing system improvements and investments in its information technology for customer services support. The company which serves approximately 62,000 customers in Luzerne and Wyoming counties said it last increased its base rate in 2018.

Under the proposed increase, the monthly bill for a residential customer using 1,000 kilowatt-hour of electricity and UGI as the default power supply service company would increase to $123.83 from $110.18 or 12.4%.

Similarly, the monthly bill for a commercial customer using 1,000 kwh would increase by 12.6 percent to $135.62 from $120.40.

The rate for an industrial customer using 50,000 kwh would decrease by 0.9% to $3,897.36 from $3,931.30.

The changes would appear in the delivery charge component of customers’ bills. A utility assesses the charge to pay for the ownership, operation and maintenance of the electric distribution system, customer service and emergency response services.

The generation supply rate commodity charge is unaffected by the proposed increase. The charge reflects what the utility pays for purchase electricity on the wholesale market without a markup to the customers who receive default power service from UGI Electric.

Christopher Brown, UGI vice president and general manager of rates and supply, said the utility’s electric distribution rates are among the lowest in the state.

“Adding anticipated investments included in this base rate increase request, UGI Electric will have invested nearly $51 million in the distribution system since the last UGI Electric base rate case,” Brown said.

The utility has invested in accelerated repair, replacement or improvement of aged and aging distribution infrastructure and the ongoing upgrade of UGI Information Technology systems.

Separate from the increase, the utility is proposing an Emergency Relief Program to assist customers who have been financially impacted by the COVID-19 pandemic.

The utility is also supporting electric vehicle charging infrastructure development within its service territory. It involves the proposed ownership and operation of three DC Fast Charge electric vehicle charging stations, as well as modified service extension provisions which may help lower the installation costs for customers planning EV charging station installations.

UGI asked for the increase to take effect on April 9. However, the PUC typically suspends the date in order to investigate the request and hold public hearings. It’s likely the delay would be until November.

Customers and interested parties may view UGI Electric’s base rate filing materials on the Company’s website at <a href="https://www.ugi.com/" target="_blank" rel="noopener noreferrer">www.ugi.com</a> and clicking on the “<a href="https://www.ugi.com/rate-filing/" target="_blank" rel="noopener noreferrer">rate</a> <a href="https://www.ugi.com/rate-filing/" target="_blank" rel="noopener noreferrer">filing</a>” link on the home page. Customers with questions may also call UGI Electric toll-free at 1-800-276-2722 to receive further information on the proposed rate increase or to find out what actions they make take.

Additional information about UGI Electric is available on Facebook at <a href="https://www.facebook.com/UGIUtilities/" target="_blank" rel="noopener noreferrer">www.facebook.com/ugiutilities</a>; and Twitter at <a href="https://twitter.com/UGI_Utilities" target="_blank" rel="noopener noreferrer">www.twitter.com/ugi_utilities</a>.

UGI Electric files for base rate increase