Pennsylvania gave Philadelphia Gas Works 30 days to report an internal investigation on last month’s weather normalization fiasco. PGW will issue $12.4 million in customer refunds for overcharges.
to allow it to issue the refunds after customers received bills that were triple, quadruple or even quintuple the size of their bills from last year.
The WNA is a tool that stabilizes PGW’s revenue by allowing PGW to adjust its bills up or down between October and May when the actual weather departs significantly from the average weather patterns during the previous 20 years. Average weather is measured in “heating degree days,” a metric that measures how much energy is required to heat a house to 65 degrees.
May’s weather was the sixth warmest May in the last 12 years, according to heating degree days measured by the National Weather Service data at Philadelphia International Airport, the location used for calculating PGW’s weather normalization adjustment.
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