20.30.01.01

.01 Declaration of Public Policy.

A. The Public Service Commission of Maryland, in these regulations referred to as the "Commission", declares that it is in the public interest for each utility to administer fairly and without discrimination a reasonable policy reflected by written regulations, in accordance with these regulations, which will permit an applicant for permanent nonresidential service to establish, or an existing nonresidential customer to reestablish, credit with the utility for the use of its service.

B. The Commission further declares that when it is necessary for an applicant or customer to make a cash deposit to establish or reestablish credit in accordance with these regulations, the making of this deposit is in the public interest because it avoids, to the extent practicable, the creation of a burden arising from uncollectible bills which would have to be borne ultimately by all the utility's ratepayers.

C. The Commission further declares that the essential ingredient in each utility's administration of its deposit policy, as expressed by these regulations, is the equitable and indiscriminate application of that policy to all applicants for service and customers throughout its service area without regard to the economic character of the area or any part of it, and that this deposit policy shall be predicated upon the credit risk of the applicant (or customer) without regard to the collective credit reputation of the area in which the applicant does business.