Incentive rate imposed on reluctant utility

Responding to a group of industrial energy users, the Pennsylvania Utility Commission ordered Pennsylvania Power and Light Company to offer a discount of close to 50% on some of the power sold to industrial or commercial users who are expanding or newly established. The development rate is based on the price the utility charges for off-system sales. The group noted that the utility is selling excess power to out-of-state utilities at lower rates, which the new ruling requires the utility to offer locally as a development incentive. Utility spokesmen contend that the current excess is temporary, and the ruling could cause an unbearable administrative burden in defining new load. Protective measures are built into the proposal, known as the Susquehanna Economic Recovery and Development Rate.