NOTICE TO
ATLANTIC CITY ELECTRIC COMPANY CUSTOMERS
Notice of a Filing and Notice of Public Hearings

In the Matter of the Petition of Atlantic City Electric Company to Reconcile and Update the Level of Its Societal Benefits Charge (2026)

BPU Docket No. ER26020021

PLEASE TAKE NOTICE that, on February 2, 2026, Atlantic City Electric Company (“ACE” or “Company”) filed a petition with the New Jersey Board of Public Utilities (“Board” or “BPU”) seeking approval to reconcile and update proposed changes to the Company’s Societal Benefits Charge (“SBC”) (“Petition”). ACE’s SBC was established by the Board pursuant to the Electric Discount and Energy Competition Act, N.J.S.A. 48:3-49 et seq., to recover costs related to the Universal Service Fund and Lifeline social programs (“USF”), the Board’s Clean Energy Program (“CEP”), and the Company’s Uncollectible Accounts Charges (“UNC”).

As filed, the Petition proposed to modify specific cost components of the SBC by adjusting the UNC and CEP components of the SBC based upon projected deferred balances as of March 31, 2026, inclusive of projected customer revenue through May 31, 2026, and the projected expenses for the period April 1, 2026 through March 31, 2027.

The proposed UNC component is based on actual expenditures through December 31, 2025 and projected data through March 31, 2027, as well as the recovery of the third year of a three (3)-year deferred amortization of uncollectible expenses associated with the conclusion of the COVID-19 Pandemic. The effect of the proposed change in the UNC component for this period results in a decrease of $5.680 million to be recovered over the period June 1, 2026 through May 31, 2027.

The Company’s Petition also included ACE’s proposed adjustments to the CEP component of the SBC based upon actual expenditures as of December 31, 2025, and projected data through March 31, 2027. The effect of the change in the proposed CEP component for this period results in an increase of $1.334 million to be recovered over the period June 1, 2026 through May 31, 2027.

The net effect of all proposed changes to the SBC charges in the Petition is an annual decrease of $4.347 million. The following table demonstrates the Company’s proposed rates based upon actual data as of December 31, 2025, and forecasted data through March 2027:

A copy of this Notice of Filing and Public Hearings on the Petition is being served upon the clerk, executive or administrator of each municipality and county within the Company’s service territory. The Petition and this Notice have been posted on ACE’s website at www.atlanticcityelectric.com/PublicPostings and have also been sent to the New Jersey Division of Rate Counsel (“Rate Counsel”), who will represent the interests of all ACE customers in this proceeding. The Petition is also available to review online through the Board’s website, https://publicaccess.bpu.state.nj.us. The Petition and Board file may also be reviewed at the Board located at 44 South Clinton Avenue, 1st Floor, Trenton, New Jersey, by appointment at (609) 913-6298.

PLEASE TAKE FURTHER NOTICE that virtual public hearings are scheduled for the following date and times:

Members of the public are invited to participate to express their views. To request accommodations, such as interpreters or listening assistance, please notify the Board Secretary 48 hours prior at board.secretary@bpu.nj.gov.

Written comments may also be submitted via the “Post Comments” button on the Board’s Public Document Search tool at https://publicaccess.bpu.state.nj.us/.