The Commission regulates gas, electric, telephone, steam heating, for- profit water and sewage companies, and common carriers, such as bus companies, transporting persons for hire within Maryland.

The PSC must assure that safe, reliable, and economical public services are provided to Maryland residents. It does this by setting utility rates, reviewing utility services and operations, inspecting equipment, auditing financial records, handling consumer complaints, establishing regulations, defending decisions on appeal to state courts, and intervening in cases before federal regulatory commissions and federal courts.

Every Wednesday, the PSC holds an Administrative Meeting during which the Commission reviews and may make immediate decisions about applications filed by various utilities and transportation companies. Matters commonly considered at Administrative Meetings include: amendments to tariffs, approval of operating authority for regulated companies, and authority for utilities to borrow money.

Other matters, such as rate increases, are usually referred for fact-finding hearings. The PSC may conduct an "en banc" hearing with all five Commissioners or establish a panel composed of Commissioners or Commissioners and a Hearing Examiner who receive and evaluate evidence. The Commission may refer a matter to a Hearing Examiner who functions much like a judge, receiving and considering evidence and testimony from witnesses in more formal settings. The decision of a Hearing Examiner, called a proposed order, does not become a final order of the PSC until 30 days after it is issued so that all the parties involved may have time to appeal to the Commission.

In addition to Administrative Meetings and evidentiary proceedings, the PSC holds evening public hearings at various locations in a utility's service area when a major case or issue is pending. These hearings provide utility customers with an opportunity to comment on a rate application and provide information on the impact of a proposed rate increase or other utility request. The statements at these hearings become part of the record in a case.

The PSC must assure that utility rates are "just and reasonable." Maryland law defines just and reasonable rates as those "which fully consider and are consistent with the public good" and which will result in an operating income to cover a utility's "necessary and proper expenses" while yielding a "reasonable return upon the fair value of the utility's property." The Commission must also set a rate of return, which is sufficient to assure the financial soundness of the utility.

When a utility files a rate application, the Commission may suspend the effective date of the new rates to allow for investigation and hearings. The suspension period is usually the maximum allowed by statute, 210 days after the application is filed.

During the suspension period, the Commission conducts extensive fact-finding hearings which allow parties involved in the case, such as company officials, the Office of People's Counsel, the PSC's staff, and various intervenors, to give testimony regarding the rate application. In a typical rate case filed by a large utility, the Commission receives as much as 2,500 pages of written testimony and hears 10 to 15 days of verbal testimony and cross-examination. The decision made by the Commission on the rate application must be based upon the evidence found in these records.

The Commission consists of five Commissioners appointed by the Governor with the advice and consent of the Maryland Senate. One Commissioner serves as Chairman.

The Commission is supported by five major work units: the Office of General Counsel, the Hearing Examiner Division, the Administrative Division, the Office of External Relations, and the Technical Staff.

The Office of General Counsel represents the Commission in state and federal courts and in proceedings before federal regulatory commissions. These attorneys defend the Commission's decisions when appeals are taken to court, file legal actions to obtain court enforcement of Commission orders, and provide legal advice to the Commission regarding its jurisdiction, duties, and powers.

The Hearing Examiner Division assists the Commission in holding hearings. In addition to telephone, gas and electricity cases, the Hearing Examiners deal with proceedings pertaining to bus, trucking, water and sewage disposal issues; applications for construction of power plants and high-voltage transmission lines; and consumer complaints which are not resolved at the administrative level.

The Administrative Division maintains the Commission's records of official proceedings, all documents filed with the commission, and all orders, rules, regulations, and decisions of the Commission. This division is also responsible for fiscal operations, personnel management, information systems, support services, and general administration within the Commission.

The Office of External Relations investigates and responds to consumer inquiries and complaints relating to gas, electric and telephone services. As a part of its public affairs and public education functions, this office ensures that consumer groups, the general public and the media have immediate access to information about the commission's decisions and actions relating to the regulations of utilities.

The Technical Staff, headed by the Executive Director, is comprised of seven smaller divisions:

The Accounting Division provides the Commission with expertise in accounting and finance. The division sponsors testimony and exhibits regarding accounting issues, performs revenue, expense and rate base analyses, appears as witnesses in formal proceedings, and assists Staff Counsel in the cross-examination of accounting witnesses in connection with rate filings.

The Engineering Division inspects utility operations for safety, efficiency, and quality of service. The engineers and inspectors within this division inspect power plants; transmission and distribution lines; gas, water and sewerage pipes; and other utility facilities. In addition, the engineering staff provides testimony in proceedings pertaining to these matters.

The Rate Research and Economics Division conducts economic and financial studies pertaining to pricing policies, cost of service, peak-load and energy demand, and the financial impact of the expansion of generating plants. This division independently analyzes economic and financial issues and provides the Commission with advice and expert testimony in proceedings.

The Office of Staff Counsel coordinates the preparation of the Technical Staff's position and represents the staff in hearings before the Commission and Hearing Examiners. These attorneys evaluate utility applications, review the testimony of witnesses, and identify and analyze regulatory issues.

The Telecommunications Division reviews and evaluates economic, financial, cost allocation, rate design, and policy and planning matters that pertain to telecommunications companies. The division monitors the performance of companies that provide local telephone, long distance calling, and specialized or enhanced telecommunications services and provides expert testimony in proceedings.

    The Transportation Division investigates complaints and enforces the laws and regulations of the Commission pertaining to the safety, rates and service of certain types of transportation companies operating in intrastate commerce. The Commission's jurisdiction extends to passenger carriers, cruise and water taxi services, railroads, and taxicabs in Baltimore City, Baltimore County, Cumberland and Hagerstown. The division monitors the safety of the carriers' operations, rates and schedules of service, and matters regarding the adequacy and quality of service.

The Integrated Resource Planning Division conducts analyses of long-range plans for electric service including applications for the construction of electric generating plants, Clean Air Act compliance plans, cogeneration contracts, power supply planning, load management and conservation programs. These analysts present expert testimony in formal proceedings and make comments on applications and petitions that are filed by utilities and ratepayers. The division participates in negotiations with members of conservation collaboratives and conducts special studies requested by the Commission.

The PSC welcomes comments, questions or general inquiries from Maryland consumers. You may submit them online or you may address your inquiries to:

The Office of People's Counsel is a state agency, independent of the PSC, whose lawyers represent the interests of Maryland residential customers in matters before the Commission or before other state and federal agencies. A customer can contact the Office of People's Counsel to get assistance in having his or her views presented to the proper regulatory agency by calling or writing to: