§ 7-512. Previously unregulated electric companies

   (a) Applicability. -- This section and § 7-513 of this subtitle apply to an entity that was regulated as an electric company on June 30, 1999, whether or not the entity or any of its businesses, services, or assets continues to be regulated under this article after that date.

(b) Authorization to recover costs. -- An electric company may recover costs under this section to the extent that the Commission finds costs to be just and reasonable.

(c) Public service program costs. --

   (1) An electric company shall be provided a fair opportunity to recover fully all costs that have been or will be incurred by the electric company under public purpose programs established by law or ordered by the Commission.

   (2) (i) Except as provided in paragraph (3) of this subsection, the costs subject to this subsection shall be funded by a surcharge or other cost recovery mechanism collected on a statewide basis that:

         1. fully recovers from customers the costs of the plans and programs; and

         2. subject to subparagraph (ii) of this paragraph, with respect to any of these costs not included in rates on January 1, 2000, is not subject to any otherwise applicable cap.

      (ii) The recovery by an electric company of costs for a universal service program is subject to any applicable cap regardless of when the costs are included in rates.

   (3) During the fiscal year ending June 30, 2000, an electric company may not, under paragraph (2) of this subsection, recover costs of a consumer education program established by law, regulation, or order.

HISTORY: 1999, ch. 3, § 1; ch. 4, § 1.