A coalition of civil rights and community groups, led by Blacks for Political and Social Action of Dane County, Inc. are challenging rate increases proposed by Alliant Energy (Wisconsin Power and Light) and Madison Gas and Electric.
“Many families are struggling right now,” said Rev. David Hart, president of BPSADC. “They do not need utility bills to go higher in this economy. Enough is enough.”
Earlier this year, Wisconsin’s energy providers announced plans to increase electric and gas rates for 2024 and 2025. MG&E would see an increase of 9% for electric and gas rates for 5% and Alliant Energy is seeking a 19% electric rate increase and 8% for natural gas. Combined, the utilities are asking to collect an additional $500 million from customers over the next two years, Hart explained.
The coalition of civil rights and community groups believe those increases are not fair or reasonable.
Homes with a high energy burden pay more than 6% of their income on energy bills; those who live in low income or “targeted” neighborhoods would pay 20%-32% of their income on gas and electric. This results in energy inaccessible to hundreds of families around Greater Madison, many of whom are historically underrepresented and marginalized. We believe MG&E and Alliant should define an affordable total home energy bill as a percentage of income payment program that does not exceed 6%, as other states have done.
“Our low-income families would pay 20% to 30% of their income on gas and electricity,” Mack said. “We want the Public Service Commission to say, NO to these increases. This increase represents a significant financial burden, for these families who are already struggling to make ends meet. Energy is one of the three or four largest expenses in their monthly budget along with housing, food and transportation.”
BPSADC is an intervenor in cases against these hikes with the PSC. Regulated utilities are allowed to impose rate increases on customers provided they file for them with the state independent regulatory agency.
Meanwhile, as utility customers struggle to afford their bills, MGE and Alliant Energy plan to squeeze wallets even tighter to gain profits for shareholders along with compensation for top executives. We want MG&E and Alliant to adopt a low-income usage reduction program with separate program components directed towards electricity and natural gas.
“While MG&E investors will make nearly a 10% return on their investment, and Alliant 10-11% while our people will continue to suffer,” Mack added. “This is another example of the rich getting richer, while the poor get poorer.”
Those concerned about unjust and inequitable electric rates, are urged to join civil rights and local community groups like BPSCDC in protesting the mounting energy rate hikes. Act by sending your online comments to the Public Service Commission Wisconsin by going to https://tinyurl.com/39redyem or by scanning the following QRCode:
