On February 14, 2012, Governor Tom Corbett signed Act 11 of 2012 into law. Act 11 opened up Pennsylvania's distribution system improvement charge (DSIC) to electric and natural gas utilities. The DSIC is intended to provide greater flexibility in ratemaking and spur investment in infrastructure by enabling utilities to recover certain infrastructure costs from customers.
Recognizing the need to accelerate the replacement of Pennsylvania's aging water infrastructure, the Pennsylvania General Assembly enacted legislation in 1997 that created the DSIC for water utilities in the state. Pennsylvania natural gas utilities have been eligible to petition the Pennsylvania Public Utility Commission for DSIC approval since January 1.
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