WASHINGTON — Baltimore Gas and Electric received approval from the Maryland Public Service Commission to use $103 million in annual tax savings for reducing residential utility bills, beginning Feb. 1.
The tax savings BGE expects are the result of the federal Tax Cuts and Jobs Act.
The average BGE residential electric customer will receive an estimated $2.91 decrease on his monthly bill, and the average residential combined natural gas and electric customer will see monthly bills reduced by $5.41.
The reductions will be reflected in customers’ February 2018 bills, BGE said.
Washington Gas parent company WGL Holdings has made a similar request with state regulatory commissions in the District, Maryland and Virginia, seeking approval to pass on its tax savings to its 1.1 million customers in the region.
WGL has said the Tax Cuts and Jobs Act would lower customer rates by approximately $34 million a year. It did not say how much of a monthly reduction customers might see.
The Tax Cuts and Jobs Act of 2017 reduced the corporate tax rate from 35 percent to 21 percent.