Josh Shapiro's Energy Stance Draws Criticism for Anti-Utility Rhetoric
Governor Josh Shapiro has labeled PECO’s recent rate hike as “pure greed” and pushed for profit caps, prompting criticism that his approach lacks pragmatic energy policy.
PECO, the chief electricity and natural-gas provider in Pennsylvania, revealed a 12.5% price rise for Philadelphia and nearby customers. Governor Josh Shapiro dismissed the hike as “pure greed,” sent a letter to utility executives asking them to justify equity returns, and earlier voiced support for capping utility profits. Observers note that price controls typically do not lower costs and can create shortages, suggesting Shapiro’s tactics are more political than economic.
The governor’s actions also overlook Pennsylvania law that bars utilities from owning generation facilities, limiting their ability to add new supply. Critics contend that a constructive approach would involve collaborating with utilities to identify barriers to cheaper energy rather than threatening profit limits. The piece likens Shapiro’s stance to a “new Democrat” who relies on rhetoric instead of pragmatic solutions.
Why it matters
Shapiro’s anti-utility moves could affect electricity prices and the state’s energy supply strategy.
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