Power is shut off as bills pile up

More Americans are having their power shut off as the weak economy makes it harder to pay bills.

“We see record numbers of households becoming disconnected or in danger of disconnection,” says Mark Bixby, energy director of Rockford, Ill. Five years ago, his office distributed federal funds annually to about 300 households that had their power cut off. Last year, it was 1,834 households, and the number is likely to go up this year, he says: “It’s families that can’t find work.”

ComEd, which supplies electricity to 3.8 million customers in northern Illinois, says it has disconnected more this year than last but declined to provide specifics. The utility saw a 14% increase in bills 60 days late in the first half of this year compared with the same period last year, spokeswoman Kim Johnson says.

Regulations differ by state, but utilities generally may not cut power off during extremely cold, and in some cases extremely hot, weather.

Utilities say they try to help customers avoid disconnection with payment plans, referrals to social service agencies and grants to pay bills.

This fiscal year, the federal Administration for Children and Families distributed a record $5.1 billion to states to help low-income households pay energy costs. The federal stimulus package includes $1.5 billion to prevent homelessness, in part by helping people pay utility bills.

USA Today