Fiedler, Burgos bill to rein in utility profits, protect consumers reported out of House Consumer Protection Committee
Rep. Elizabeth Fiedler June 9, 2026 | 11:59 AM
HARRISBURG, June 9 – Today, the Pennsylvania House Consumer Protection, Technology and Utilities Committee voted 17-9 to advance the Return on Equity bill, which is co-sponsored by Committee Chair Danilo Burgos, D-Phila., and House Energy Committee Chair Elizabeth Fiedler, D-Phila.
House Bill 2224 would create a default, formula-based return on equity for investor-owned utilities that reflects the true market-based cost of equity. It would ensure that ratepayers pay no more than what is necessary to attract capital investments.
“As energy prices rise, many people are having a hard time keeping up with their bills,” Fiedler said. “Consumers shouldn’t be paying a dollar more than necessary for safe, reliable utility service. The process of arriving at the rate we are charged on our monthly bill isn’t something most people think about, but it is a choice and has a huge impact on what we pay. This legislation sets out to rein in excessive shareholder profits and save Pennsylvania households money on their monthly bills.”
Over the last five years, Pennsylvania ratepayers have seen an average 60% increase in their utility bills. Meanwhile, electricity shutoffs increased by 21.3% between 2024 and 2025.
“Our goal here is simple: while utility companies should earn a fair return for keeping the lights on and the water running, that shouldn't come at the expense of Pennsylvanians who are already struggling to make ends meet,” Burgos said. “By fixing the way these rates are set and reviewed, we’re finally pulling back the curtain and making the whole process more honest. We’re making it clear that Pennsylvania is done just 'rubber-stamping' every price hike that comes across the desk.”
Under the bill, if utilities believe that the default return on equity is too low, they would be allowed to pursue a competitive auction that instead produces a market-based cost of equity. This system is well established, used by PJM Interconnection to procure electric generation capacity and by bond markets to determine the minimum return required by lenders.
This bill is part of House Democrats’ energy-affordability agenda, which aims to keep costs low, maximize grid efficiency and put people before profit. Those interested can see the details of the package here.