20.30.02.01

.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 fairly and without discrimination administer a reasonable policy reflected by written regulations, in accord with these regulations, which will permit an applicant for permanent residential service to establish, or an existing residence customer to re-establish, 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 re-establish credit in accord with these regulations, the making of the 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 rate payers.

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 individual without regard to the collective credit reputation of the area in which he lives.