Back/FirstEnergy subsidiary Potomac Edison launches $11.1M Maryland pilot to electrify school buses
energy·February 2, 2026·fe

FirstEnergy subsidiary Potomac Edison launches $11.1M Maryland pilot to electrify school buses

ED
Editorial
Cashu Markets·3 min read
TL;DR
  • Potomac Edison (FirstEnergy subsidiary) launches $11.1M electric school bus pilot starting early 2026.
  • FirstEnergy leadership says the pilot pairs financial aid and hands‑on support to lower district adoption barriers.
  • FirstEnergy Pennsylvania files default service plan for over two million customers, setting auctions and adding safeguards.

Maryland pilot aims to power school bus electrification

Potomac Edison, a FirstEnergy Corp. subsidiary, is launching an $11.1 million pilot program approved by the Maryland Public Service Commission to accelerate the adoption of zero‑emission electric school buses beginning in early 2026. The five‑year initiative — or until funds are exhausted — covers the typical incremental purchase cost of about $250,000 per bus versus diesel and funds necessary charging equipment and electrical upgrades. The utility says the program is structured to help school systems meet Maryland’s Climate Solutions Now Act of 2022 while lowering upfront financial barriers.

The pilot provides incentives sufficient to deploy up to 28 electric buses across Potomac Edison’s service territory and delivers full technical and administrative support to help districts identify charging locations, install equipment and train personnel. The program also includes access to vehicle‑to‑grid (V2G) technology to test how stored energy in bus batteries can flow back to the grid while vehicles are idle, a capability the company says could bolster grid reliability during emergencies and provide operational flexibility. Potomac Edison frames the effort as delivering quieter rides, improved local air quality and long‑term operational savings for districts.

FirstEnergy’s regional leadership says the pilot combines direct financial support with hands‑on assistance to make the transition more practical and affordable for school districts. Jim Myers, president of FirstEnergy’s West Virginia and Maryland operations, emphasizes reducing upfront costs and gathering deployment, cost and V2G performance data to inform regulators and stakeholders. Potomac Edison serves roughly 285,000 customers in parts of Allegany, Carroll, Frederick, Garrett, Howard, Montgomery and Washington counties; FirstEnergy’s distribution companies collectively serve more than six million customers.

Pennsylvania default service plan sets auction schedule

Separately, FirstEnergy Pennsylvania Electric Company files a new Default Service Plan with the Pennsylvania Public Utility Commission outlining how it will procure generation for more than two million default customers beginning June 1, 2027. The proposal retains a competitive auction administered by CRA International, sets auction months (January, April and November in 2027; January and November in 2028–2031) and notes generation comprises about 60% of a typical customer’s bill.

Customer protections and market approach

FE PA says the plan adds safeguards to automatically return residential customers to the utility’s standard default rate when fixed‑term contracts expire, limit inadvertent rollovers and increase billing clarity. John Hawkins, president of FE PA, says the company cannot control wholesale prices but can limit the risk of overpaying and provide greater stability for customers navigating a difficult economic environment.

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