Even Monthly Payment Plans
Even monthly payment plans are Public Service Commission-approved utility programs. The BGE plan is called budget billing. A customer may sign up for this plan subject to the utility’s restrictions. The utility may limit participation to “creditworthy” customers.
The plans provide for even monthly payments over time. However, these plans do not mean that the customer pays the same amount for 12 months
Annual average usage/12 = monthly payment
Over time, a credit or debit may build up
The monthly payments are adjusted at least two times a year. The utility may adjust the monthly payment up or down more frequently if the debit or credit gets too high. The utility may increase the payment amount to reflect estimated increases resulting from rate increases. A “payment plan” or “budget bill” amount is not necessarily an “affordable” amount.
For customers with retail energy supplier contracts, the utility only provides these plans for the distribution charges on the bill (Potomac Edison and Washington Gas may be exceptions). A retail supplier may offer other plans for its’ own supplier charges.