ELKTON, Md. — Utility customers are seeing much higher bills, sometimes double what they paid the month before.
Taylor O'Bryan and her family recently returned from a two-week trip to a new electric bill. In just one month, her bill jumped from $374 to nearly $850.
“I mean, our jaws dropped. My husband, luckily, is someone who tracks every little thing we do, so we went and compared our energy usage, which seemed off,” said O’Bryan.
Her usage doubled, and yet, she was out of town and has taken steps in the last year to become more energy efficient.
“Shutting off different vents, using a smart Ecobee thermostat. We've gone and put little things under the doors. We've sealed things. We've actually even turned off parts of our home, like our basement where my office is,” said O’Bryan.
And she's turned down her thermostat to the lowest temperature they can tolerate.
“So, we're bringing our toddler into our bed at night, because she's two. I can't guarantee she's going to keep blankets on, so we're bringing her [into our bed] to know that she'll be warm enough in our room. And that just breaks my heart,” O’Bryan shared.
Delmarva Power has attributed increased bills to increased usage due to colder temperatures.
“Based on those temperatures that we've seen since that Thanksgiving holiday, an HVAC system would probably need to run about 80 percent more in December as compared to November,” said Zach Chizar, a Delmarva Power spokesperson.
“But year-over-year, looking at [O’Bryan’s] bill, the difference in temperature is two degrees on average. So how does a difference in two degrees translate to double your bill?” WMAR-2 News Mallory Sofastaii asked Chizar.
“This is, again, where every customer’s situation is going to be different,” said Chizar. “So, not only the weather, but what type of equipment or what kind of situation do they have in their home?”
He added that heat pumps in particular can require more energy in the winter.
David Lapp, the People's Counsel and whose office represents Maryland residential utility customers, said there's a third factor to consider -- rate increases.
“We've seen big increases for utility rates over the last, you know, 10 or so years,” Lapp said. "It's a simple math equation, right? There's the rate that is multiplied by how much you use. And so if you use less, your bill is going to go down. But the higher that rate is, you know, the bigger the impact."
Looking at O’Bryan’s bill, the distribution charge rate increased 14 percent in one month. And the rate for the EmPOWER Maryland charge, a statewide program funding energy efficient upgrades, increased 59 percent.
According to Chizar, there was a 1 percent increase in the charges for the infrastructure upgrades through the multi-year plan. “There are other surcharges that are included in the distribution rate itself that a customer sees on their bill that change monthly, and sometimes they shift the rates up or down (in December it appeared as a credit). And in this instance, that rate did go up for January, so that’s where we are seeing that increase,” Chizar clarified in an email.
The Office of the People's Counsel tracks rate increases across all local utility providers and has noticed a trend in Pepco, Delmarva, and BGE rate increases, all Exelon-owned utilities. They've increased substantially and well above inflation rates. These rate increases are approved by the Maryland Public Service Commission, and are used to improve infrastructure.
“If you think about how a utility earns money, they actually earn money for their investors by spending more customer money,” Lapp said.
Lapp's office questions the necessity of these upgrades when other utilities, such as Washington Gas, have managed to keep their costs lower.
“You just go south on 95 and you can pay literally less than half on a volumetric basis,” said Lapp.
Utilities have argued that you can't fairly compare systems. They're different ages and have different needs, but Lapp wants to see lawmakers better scrutinize these increases to avoid unnecessary spending overtime.
“Once those investments are made, it's hard to pull them back. That's why we, you know, push really hard to say are these investments really necessary?” Lapp added. "And while we're worried about what's going on today, we are equally concerned that those rate increases are going to continue going forward and you can see that with with the plans for further investment that the utilities have."
For now, the biggest factor impacting bills is usage. And customers, like O’Bryan, still don't understand how that's changed so drastically.
“We are happy paying our fair share, but we just want it to be fair,” said O’Bryan.
O’Bryan’s even more concerned about next month's bill with these recent frigid temperatures. Sofastaii also spoke with O’Bryan’s neighbor who has a different heating source and energy supplier and saw her bill double as well.
Chizar said they can send out an engineer to investigate further. In the meantime, they ask that customers contact them before they fall behind on their bill. They have different payment options, including budget billing.
And if you have a heat pump, Delmarva recommends keeping it at one setting. Since most heat pumps have an electric back-up, raising and lowering the temperature daily can actually burn more electricity. Only adjust the temperature if you’re going to be away for longer than 24 hours. Delmarva recommends 68 degrees. This advice applies to heat pumps in winter only.
The Office of the People’s Counsel can help connect residents with energy assistance programs. Click here for information on how to contact the OPC.
Below are some additional tips from Delmarva Power for customers with heat pumps.
- A heat pump thermostat should clearly show when your AUX heat is running. Usually it has to run when the temperature is below freezing. But if you notice it running all the time, even on day’s when it’s only 50, consider getting an HVAC technician to check the system.
- If your thermostat does not clearly show when your AUX is running, get a replacement. Also consider getting a digital replacement if you have an older mechanical thermostat.
- Have your heat pump serviced in the fall before the start of winter. A problem with your heat pump in winter can cause significant electricity bills if the AUX is running excessively.
- If you don’t have it serviced, make sure to check that it is actually running. On a 40 to 50 degree day when your heat is running, go outside and check that your outdoor heat pump is also running. That simple check could warn you if you have a problem or not before winter starts.
- Consider getting a thermometer gun and measuring the temperatures coming from your vents. If, when heating, you’re only getting temperatures from the vents in the 70’s or low 80’s without AUX Heat, that could be a sign you’re low on refrigerant.
- Don’t forget to change your filters regularly for your HVAC system.