Mon Power and Potomac Edison Seek Approval for Reliability and Infrastructure Investments

FirstEnergy subsidiaries Mon Power and Potomac Edison have filed a request with the Public Service Commission of West Virginia to review electric rates as the companies continue investing in grid reliability, storm resilience and infrastructure upgrades across West Virginia.

The filing outlines two potential approaches. One would use an inflation-based adjustment designed to spread smaller increases over time instead of implementing a single larger increase. According to the companies, the approach would provide customers with more predictable costs while supporting continued investments in the electric system.

The second option is a traditional base rate adjustment tied to completed infrastructure work and a proposed reliability and infrastructure improvement initiative focused on replacing aging equipment and deploying new technology to reduce outage frequency and duration.

The companies said recent investments have already produced measurable reliability improvements, including a 43.8% reduction in the duration of outages associated with the high-voltage transmission system in West Virginia. Additional work has included upgrades at the Fort Martin and Harrison power stations and replacement of poles, lines and other equipment to improve storm resilience.

Under both proposals, Mon Power and Potomac Edison said residential customers would continue paying the lowest electric rates among West Virginia’s regulated electric utilities. The companies said the proposals would support additional work on power plants, transmission infrastructure and local electric equipment aimed at preventing outages and improving restoration times.

“Our customers count on us every day, especially when the weather is at its worst,” said Chris Beam, president of West Virginia and Maryland for FirstEnergy. “This rate review would help us keep improving an aging system by making it more resilient so we can restore power faster when outages happen. We also know customers are watching costs closely, so we’re focused on making smart investments that improve service and provide long-term value.”

Under the proposed inflation and investment adjustment, the companies are seeking a total adjustment of $76 million, implemented through annual $38 million adjustments beginning Aug. 1, 2026, and June 1, 2027. The companies said the proposal would increase the average residential customer bill by about 3% and 2.9%, respectively, and would eliminate the need for another rate review until April 2028.

Under the alternative traditional base rate proposal, Mon Power and Potomac Edison are requesting a $188 million adjustment. The filing includes funding for a reliability and infrastructure initiative that would replace older equipment and add technology intended to reduce outage frequency and duration.

The companies said the proposal builds on a pilot program approved by the PSC in 2024 that reduced outage time for rural customers by an average of about four hours annually, representing a 53% reduction. If approved, the traditional base rate adjustment would increase the average residential customer bill by about 13.9%.

Any proposed rate changes must be reviewed and approved by the Public Service Commission of West Virginia before taking effect. Mon Power and Potomac Edison said the review process will allow regulators to examine the proposals and their impact on customers.