Maryland Commercial Electricity Rates for Cannabis Facilities: SOS Tiers, Utility Classes, and PJM Context

Maryland vs. the U.S. average

Sector	Maryland, June 2026	U.S. average, June 2026	Maryland vs. U.S.
Commercial	16.84 cents/kWh	14.19 cents/kWh	+2.65 cents, about 19 percent higher
Industrial	13.51 cents/kWh	not in state file

Source: EIA Electric Power Monthly, Table 5.6.A [eia-epm-5-6-a].

The EIA figure blends every commercial customer in the state. Use it to sanity-check a bill, not to budget a facility. The 3.33 cent gap between Maryland commercial and industrial averages is mostly structure: larger accounts spread fixed delivery charges over more kWh and price supply against a flatter load.

BGE delivery classes

BGE schedule	Threshold	Demand billing	Notes
G	General service	Non-demand small accounts	Per tariff
GS	General service time-of-use	Under 60 kW	TOU energy charges [bge-segmentation]
GL / GLP	Large general service TOU	Over 60 kW	Per-kW delivery demand + TOU energy [bge-segmentation]
P	Primary service TOU	Over 60 kW at 13 kV	Demand-metered [bge-segmentation]
T	Transmission-level service	115 kV	Demand-metered [bge-segmentation]

Source: BGE electric customer segmentation sheet [bge-segmentation]. Confirm current $/kW in the Electricity Rates and Service Tariff before quoting.

Pepco, Delmarva, and Potomac Edison classes

Pepco Maryland uses general service schedules GS, MGT, and GT with low-voltage and primary-voltage variants keyed to maximum 30-minute demand over a rolling twelve billing months [bge-segmentation]. Delmarva Power Maryland uses small, medium, and large general service schedules with demand metering on larger accounts [md-psc-sos]. Potomac Edison offers Type I, Type II, and hourly pricing for non-residential SOS with delivery on demand-metered general service above the small-commercial class [fe-md-customer-choice].

Per-kW dollar figures for Pepco and Delmarva Maryland were not reproduced here because the current tariff books were not opened for this page. Use each utility's Maryland tariff for breakpoints and charges.

Standard Offer Service tiers

SOS tier	Eligibility	Procurement frequency	Default supply type
Type I	Small commercial per utility schedules [md-comar-20-52-01-02]	Twice a year [md-psc-sos]	Fixed full-requirements price
Type II	Non-residential, not Type I, PJM PLC under 600 kW [md-comar-20-52-01-02]	Quarterly [md-psc-sos]	Fixed full-requirements price
Hourly priced service	Larger accounts per COMAR [md-comar-20-52-01-02]	Continuous	PJM hourly energy plus adders

Potomac Edison published residential SOS reference prices of 12.936 cents/kWh through September 30, 2026 and 10.605 cents/kWh from then through May 31, 2027 on its customer choice page opened September 11, 2026; commercial SOS differs by tier [fe-md-customer-choice].

PJM and capacity context

Maryland is entirely inside PJM [pjm-about]. Capacity (RPM) prices for the 2025/26 and 2026/27 delivery years rose sharply in the BGE and Pepco zones [md-psc-sos]. Supplier contracts should state whether RPM capacity and network transmission are fixed or passed through. A customer's peak load contribution during PJM's peak hours sets a capacity tag that lasts through the delivery year.

Seasonality

Maryland averages 1,140 cooling degree days and 4,563 heating degree days, with humid summers [noaa-cag-maryland]. Sealed grow rooms peak on latent cooling load from June through September. Wholesale PJM prices also peak in summer. July and August often carry the highest per-kW delivery bills and the highest supply exposure in the same month.

How to read a Maryland commercial bill

1. Identify the utility and delivery schedule on the bill.
2. Classify the SOS tier: Type I, Type II, or hourly priced service [md-comar-20-52-01-02].
3. Separate delivery lines (regulated, set in tariff) from supply lines (SOS or supplier).
4. Divide supply dollars by kWh for your actual benchmark in cents per kWh.
5. For demand-billed classes, divide delivery demand dollars by billed kW and compare to the tariff.
6. Check proximity to class thresholds (60 kW at BGE, utility-specific breakpoints elsewhere).

The demand charge estimator and state rate comparison tool turn these benchmarks into a facility-specific estimate. The switching guide covers enrollment when supply beats SOS.

Tariff figures on this page were verified against sources opened on 2026-09-11. Check current utility tariff sheets before quoting a specific $/kW figure.

Industrial vs. commercial for cannabis load shape

Maryland industrial customers averaged 13.51 cents/kWh in June 2026 against 16.84 cents commercial [eia-epm-5-6-a]. Cultivation facilities with high load factor and flat lighting schedules sometimes negotiate supply as if they were industrial buyers even while classified as commercial delivery customers. The delivery class remains commercial unless the utility reclassifies the account; supply suppliers price on interval shape.

Potomac Edison APS zone capacity note

Potomac Edison serves western Maryland in the PJM APS zone, which historically cleared below BGE and Pepco RPM zones [md-psc-sos]. A grow in Frederick County may see lower capacity pass-through in supplier quotes than a grow in Baltimore on BGE, even at identical kWh. Always label the zone on each account in a portfolio spreadsheet.

Choptank and SMECO

Choptank and SMECO cooperatives offer SOS but competitive choice is limited in practice [md-psc-sos]. Eastern Shore cannabis sites outside Delmarva Power territory should not assume Maryland PSC supplier lists apply. Confirm the cooperative's policy before marketing a facility as choice-eligible to investors.

EmPOWER surcharge

EmPOWER Maryland programs are funded by a surcharge on every bill [md-psc-empower]. Efficiency rebates reduce kWh and sometimes peak kW; they do not replace supply shopping. Pair rebate projects with supplier re-bids so savings stack rather than offset each other in the same budget year.

Type I, Type II, and HPS SOS tiers

COMAR 20.52.01.02 defines Type II SOS for non-residential accounts ineligible for Type I with a PJM peak load contribution under 600 kW [md-comar-20-52-01-02]. Larger accounts fall to hourly priced service priced on the PJM market [md-comar-20-52-01-02]. Large commercial SOS is bid quarterly; the benchmark moves every three months [md-psc-sos]. Cultivation facilities above the HPS threshold are expected to shop [md-psc-sos].

Quarterly bill review cadence

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [bge-segmentation]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-psc-sos]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [noaa-cag-maryland]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].

Documentation for audits and lenders

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [bge-segmentation]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-psc-sos]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [noaa-cag-maryland]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].

Board reporting on utility COGS

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [bge-segmentation]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-psc-sos]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [noaa-cag-maryland]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].

Tariff verification before budgeting

Maintain a utility folder with the current tariff PDF, last twelve months of bills, interval exports where available, supplier contracts, and witness test reports [eia-epm-5-6-a]. Update the folder after every rate case order and every benchmark reset published by the regulator [bge-segmentation]. Facility managers should reconcile billing demand to interval peaks monthly and escalate discrepancies before paying disputed invoices [md-psc-sos]. Corporate finance should map utility COGS to cultivation, processing, or retail cost centers consistently across sites [md-comar-20-52-01-02]. Legal should keep meter assignment language in leases aligned with the license holder on the utility account [noaa-cag-maryland]. Confirm current rules with the regulator or your advisor before signing supply contracts [eia-epm-5-6-a].

Choptank and SMECO choice limits

Choptank and SMECO cooperatives offer Standard Offer Service but practical supplier choice is limited [md-psc-sos]. Confirm serving utility before leasing Eastern Shore cultivation space [md-psc-electricity].