WASHINGTON — Washington Gas parent company WGL Holdings said it wants to pass on tax savings it will receive from corporate tax reform to its customers.
Washington Gas is filing with state regulatory commissions in the District, Maryland and Virginia this week, seeking approval to pass on the savings to its 1.1 million customers in the region.
It said the Tax Cuts and Jobs Act of 2017 would lead to lowering customer rates by approximately $34 million a year. It did not say how much of a monthly reduction customers might see.
Baltimore Gas and Electric made a similar announcement last week, seeking Maryland Public Service Commission approval to pass on its reduced tax burden, which will cut its annual tax bill by $82 million.
The Tax Cuts and Jobs Act reduces the corporate tax rate from 35 percent to 21 percent.
BGE said, if approved, its residential electric customers would see an average $2.31 decrease in their monthly bill, and residential combined natural gas and electric customers would see an average reduction of $4.27 per month.
BGE expects to begin passing on the savings in February. Washington Gas said its customers would see lower bills sometime in the first quarter of 2018.
Washington Gas customers may not initially notice the difference. The utility has warned that residential bills could be as much as 18 percent higher because of a colder winter heating season than a year ago.
