HARRISBURG, PA — With utility shutoffs reaching record levels and energy costs continuing to rise, Lt. Gov. Austin Davis on Wednesday convened utility industry experts to highlight the Shapiro administration’s efforts to lower consumer bills while pressing for reforms aimed at reducing utility company profits and managing growing electricity demand from data centers.
Davis argued that Pennsylvania consumers are bearing the cost of some of the nation’s highest utility profit margins while large, publicly traded utility companies continue to generate strong returns for shareholders.
“The corporations that power most Pennsylvanians’ homes are huge, publicly traded companies with footprints in multiple states, and they’re making money hand over fist,” Davis said during the roundtable discussion at the Capitol. “Pennsylvania consumers are paying for the utility industry’s highest profit margins in the country.”
The administration has recently taken several steps aimed at limiting future rate increases. In April, Gov. Josh Shapiro appointed attorney Mark Szybist as special counsel for energy affordability, a newly created position focused on utility costs and consumer protections. That same month, PECO withdrew a rate case before the Pennsylvania Public Utility Commission that would have increased bills by a combined $510 million for approximately 1.7 million customers, according to the administration.
State officials also pointed to actions taken before PJM Interconnection, the regional power grid operator, that they estimate will save customers across the 13-state PJM region $45 billion over the next four years, or roughly $800 for the average Pennsylvania household.
The roundtable comes as utility shutoffs in Pennsylvania have climbed to more than 387,000 households in 2025, according to the Pennsylvania Utility Law Project.
“Pennsylvania families are struggling profoundly to afford basic home energy services in the face of rapidly rising rates,” said Elizabeth Marx of the Pennsylvania Utility Law Project. “Yet, even as involuntary shutoffs soar to record levels, energy companies continue to post record profits.”
The administration has identified data center growth and utility company profits as two major drivers of future electricity costs. Under the administration’s proposed Governor’s Responsible Infrastructure Development, or GRID, standards, developers of large data centers would be required to detail how projects will meet their energy needs without shifting costs onto other ratepayers. Legislation that would codify the standards passed the Pennsylvania House earlier Wednesday.
The administration is also seeking changes to utility regulation that it says would prevent monopoly utility companies from passing excessive costs to consumers while generating what it describes as windfall profits for shareholders. Testimony before the state House Energy Committee estimated that high returns on equity cost Pennsylvania consumers about $2 billion annually.
Robert Routh of the Natural Resources Defense Council pointed to a recent report estimating that Pennsylvania households could save more than $840 annually through policies that expand low-cost clean energy, limit utility profits and improve grid efficiency.
“Rising electricity prices are not inevitable,” Routh said. “The recent Synapse report makes it clear that enacting smart state policies can save people significant money by lowering utility bills.”
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