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Choice State PSC Directs Utilities To Develop Proposals To Increase Participation In TOU & Similar Rates, & To Promote DERs and Demand Response

March 2, 2026

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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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The Maryland PSC has opened proceeding PC 77 to consider Demand-Side Management Programs, Rate Design Measures, and Distributed Energy Resource Integration

As part of such, the PSC directed the utilities to provide proposals to increase participation in demand-side management programs as well as rate designs which are intended to influence customer load behavior, such as time-of-use rates

The PSC further directed the utilities to offer new programs that would promote DERs and demand response.

The PSC said that PC77 is to also catalog the current state of demand-side management programs as well as rate design measures intended to influence customer load behavior

PC 77 is to be considered both in coordination with, and alongside of, implementation of the state's DRIVE Act, which establishes various statutory obligations concerning demand-side programs. Among other things, the DRIVE act requires the utilities to file temporary tariffs to implement TOU rates as a way to avoid or defer electric distribution system capital projects

In opening PC77, the PSC said, "The Commission is mindful that there are a number of proceedings in place that are intended to address system reliability and affordability, but the Commission is also concerned that the siloing of such proceedings could result in duplicative or less-than-effective programs. Pairing TOU rates with certain distributed energy resource ('DER') programs could result in more cost-effective solutions. In fact, there could be situations where TOU rates would only be cost-effective if combined with other programs, but we would miss such an opportunity if those programs are considered separately."

PC77

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