House Members Urge PUC To Cut Energy Rates Following Federal Tax Cuts

More than a dozen Republican members of the House Monday wrote a letter to the Public Utility Commission asking it to decrease energy costs for consumers following the federal corporate tax cuts.

The members said they believe Pennsylvania should follow the 39 states that have already lowered energy rates following the federal tax reform measure that reduced corporate tax rates from 35 to 21 percent, this reduction in costs should be passed onto the consumer.

The text of the letter follows--

“Since the Tax Cuts and Jobs Act, the overwhelming majority of Pennsylvanians have seen their tax liability decrease by significant amounts. While their tax liabilities have dropped, following the federal tax changes, Pennsylvanians have not seen their energy bills drop.

“Comparatively, residents of 39 different states have reduced their energy rates following tax reform. These states include states such as Texas whose economy is built on the success of the energy industry.

“These states recognized the fact, the significantly reduced tax liability energy companies meant these companies no longer need to charge the same energy rates to meet their current costs. It is a well-known fact, like any other company, energy companies often resort to increased costs, fees or taxes by passing the increase onto consumers.

“Now that corporate tax rates have dropped from 35 to 21 percent, this reduction in costs should also be passed onto the consumer. Therefore, we are asking you and the commissioners to begin working on reducing the energy rates Pennsylvanians are paying by a fair and reasonable amount.”

The letter was signed by Representatives Lynda Schlegel Culver (R-Northumberland), Bryan Cutler (R-Lancaster), Matt Dowling (R-Fayette), Cris Dush (R-Indiana), Mindy Fee (R-Lancaster), Seth Grove (R-York), David Hickernell (R-Lancaster), Lee James (R-Butler), Rob Kauffman (R-Franklin), Brett Miller (R-Lancaster), Jason Ortitay (R-Allegheny), Greg Rothman (R-Cumberland), Frank Ryan (R-Lebanon), Ryan Warner (R-Fayette) and David Zimmerman (R-Lancaster).

Click Here for a copy of the letter.

On February 16, the PUC adopted a Secretarial Letter opening a 25 day comment period on this issue that ended March 9.