PA Environment Digest Blog: PUC Publishes Updates To Low-Income Natural Gas, Electric Utility Usage Reduction Program Regulations

On December 13, the Public Utility Commission published notice of final changes to Low-Income Usage Reduction Program (LUIUP) regulations for natural gas and electric utilities, which helps tens of thousands of income-qualified residents across the Commonwealth reduce their energy usage and bills.

On March 13, 2025, the Commission voted 5-0 to update regulations governing LIURP, a utility-sponsored program that provides weatherization and energy usage reduction services to help at-risk customers reduce their overall energy consumption.

LIURP services may include insulation, furnace repairs or replacements, water heater upgrades, health and safety improvements, energy conservation education, and other energy-saving measures, depending on the condition of the home.

“These updates to the regulations are important to keep up with the energy transition and technology improvements and to foster coordination among energy reduction programs to ensure a streamlined, cost-efficient approach to achieving energy reduction that benefits customers and utilities,” said Commissioner Kathryn L. Zerfuss in a supporting statement.

With a goal of improving coordination and efficiencies within utility universal service programs, the Commission approved several regulatory enhancements which place new LIURP requirements on public utilities, including:

-- Standardizing LIURP administration protocols, including setting quality control standards and establishing work specifications and LIURP contractor certification requirements.

-- Requiring utilities to collaborate on LIURP services, training, outreach, and resources, including coordination with other energy assistance programs.

-- Encouraging utilities to consider developing LIURP pilot programs that incorporate renewable energy sources to help reduce utility costs for at-risk populations.

-- Ensuring that any unspent LIURP funds are added to the budget for the next year to ensure those funds are used to provide weatherization and energy reduction services to eligible customers, unless the Commission approves an alternative use.

-- Mandating targeted outreach to customers with limited English proficiency who are likely eligible for LIURP services, ensuring they are informed about available assistance.

This action follows an extensive public comment period, during which the Commission gathered input on modernizing LIURP regulations to reflect evolving energy technology, improving coordination with other energy programs, and enhancing program efficiency.

The PUC’s existing LIURP regulations apply to larger natural gas distribution companies and electric distribution companies.

These public utilities are required to include a LIURP as part of their universal service and energy conservation programs.

The other three required universal service programs are Customer Assistance Programs (CAPs), Hardship Funds, and Customer Assistance Referral and Evaluation (CARES) programs.

LIURP helps low-income households reduce their electricity and natural gas use by providing home weatherization and energy-saving upgrades. These improvements can help lower monthly utility bills.

Visit the PUC Utility Assistance Programs webpage for more information.

Documents related to this case can be found at PUC Docket No.: L-2016-2557886.

Click Here for the PUC’s March 13, 2025 announcement.

Resource Links - Energy Prices:

-- PUC: Most PA Electric Utility Consumers To See 3.7% To 10.6% Increase In Electricity Prices During The Next 3 Months Starting Dec. 1 [PaEN]

-- PaGasSwitch.com: Natural Gas Costs Increased From 9.26% to 57.5% Over The Last Year For Natural Gas Utility Customers Not Shopping For A Fuel Supplier [PaEN]

-- PUC Chairman Highlights 'Extraordinary Challenges' Pennsylvania Families Are Facing This Winter With Energy Bills And His Appreciation For Groups Providing Assistance [PaEN]

-- PUC Highlights Ways Natural Gas Customers Can Manage Winter Energy Use, Costs, Explore Energy Affordability Options [PaEN]

-- PUC Publishes Updates To Low-Income Natural Gas, Electric Utility Usage Reduction Program Regulations [PaEN]

-- PJM Interconnection Issues Cold Weather Alert For Dec. 13 In Illinois, And Dec. 14, 15 In Its Western Region, Including Duquesne Light, Penn Power, West Penn Power [PaEN]