FirstEnergy's Potomac Edison wins $11.1M Maryland electric-bus pilot; Pa. plan adds customer protections

Maryland pilot wins regulatory OK to underwrite electric school bus costs

Potomac Edison, a subsidiary of FirstEnergy Corp., receives approval from the Maryland Public Service Commission to operate an $11.1 million pilot that launches in early 2026 to accelerate the transition of local school fleets to zero-emission electric school buses. The five-year initiative, or until funds are exhausted, covers the typical incremental cost of about $250,000 per bus over diesel, pays for charging equipment and required electrical upgrades, and provides incentives sufficient for up to 28 electric buses within Potomac Edison’s Maryland service territory.

The program pairs financial support with hands-on assistance: Potomac Edison supplies full technical and administrative help to school districts to identify charging locations, install equipment and train personnel. It also gives participating districts access to vehicle-to-grid (V2G) technology to test whether stored energy in bus batteries can flow back to the grid when vehicles are idle, a feature the company says could bolster grid reliability during emergencies and provide new flexibility for system operators.

Regulators and the utility frame the pilot as a tool to help Maryland public schools comply with the Climate Solutions Now Act of 2022, which moves future purchases and contracts toward zero-emission vehicles. FirstEnergy’s Jim Myers, president for West Virginia and Maryland, says the program is designed to reduce upfront costs and make the transition more practical and affordable while gathering lessons about deployment, costs and V2G performance. Potomac Edison serves about 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.

Default service plan seeks more customer protections in Pennsylvania

Separately, FirstEnergy’s Pennsylvania Electric Company files a new Default Service Plan with the Pennsylvania Public Utility Commission that details how it will procure generation supply from June 1, 2027 for more than two million customers who do not choose an alternate supplier. The filing keeps a competitive auction administered by CRA International to set the standard fixed supply rate, schedules auctions in 2027 and through 2031, and introduces safeguards to limit inadvertent rollovers and give residential customers a clearer path back to the utility’s default rate when fixed-term contracts end.

The company says generation supply makes up roughly 60% of a typical Pennsylvania bill and that the proposal aims to reduce the risk of customers overpaying amid volatile wholesale markets. John Hawkins, president of FirstEnergy Pennsylvania Electric Company, says the safeguards seek to provide greater clarity and stability for customers facing a difficult economic environment.