MONTPELIER, Vt. (WCAX) – The Scott administration is calling for an independent audit of the Burlington Electric Department.
It comes as energy regulators raise red flags on shortfalls they say cost ratepayers money.
The regulatory Vermont Public Utility Commission sent a letter to the Scott administration in late July, outlining a “troubling pattern of regulatory errors, inconsistencies and shortfalls” at Burlington Electric.
The list includes a failure to report renewable electricity credits from the McNeil Generating Station last year, costing ratepayers just shy of $1 million.
In a response on Friday, the Scott administration is calling for a ratepayer-funded independent audit of BED’s business practices, internal controls and management.
They say they still have confidence in BED’s leadership, but say more oversight and accountability are needed within the municipal utility.
Both BED and the Scott administration say something needs to change.
“Now more than ever, it’s really important to have an effective management team managing all aspects of operations, and every person, every ratepayer in the state wants that for their local utility and every other utility in the state,” Vt. Public Service Commissioner Kerrick Johnson said.
“I’m committed as general manager that we will work incredibly hard and constructively with our regulators to achieve that performance expectation they have for us,” said Darren Springer, the general manager of the Burlington Electric Department.
The letter from the Public Service Department also adds that Burlington Electric delivers reliable service to Burlingtonians and that they receive very few complaints about the utility.
The call for the audit comes as ratepayers will see a 4.5% rate hike next month because of increased costs in purchasing power from the grid.
The performance audit will take about six months.
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