BGE challenges report from Maryland Public Service Commission alleging fraudulent inspections, safety oversights
In a filing Thursday, BGE challenged a report by the Maryland Public Service Commission alleging that the company allowed safety oversights following fraudulent inspections by a former employee.
According to the PSC's report, a former BGE employee falsified gas pipeline inspection records over a span of four years.
The PSC says BGE failed to adequately investigate or remediate potentially compromised infrastructure, risking public safety and potentially charging ratepayers for work that was never properly done.
In the filing, BGE said the company would like to correct "numerous misstatements" in the PSE's report.
BGE disputes claims of safety oversights
"These inaccuracies incorrectly imply that the unacceptable performance of a single former BGE employee jeopardized the safety of the Company's gas distribution system—a claim that is categorically unfounded," BGE wrote in the filing.
BGE said only one falsified report was submitted by the employee, disputing the PSC's claim that the BGE had "acknowledged a pattern of falsified records." BGE said there were no falsified reports submitted in 2023, contrary to the PSC's report. According to the company, the former employee's disciplinary action in 2023 was taken due to his "underperformance in the number of audits BGE verified he conducted."
The company also said that the audits were contractor compliance audits, not safety inspections.
Union agreement initially prevented former employee's termination
In addition, BGE denied claims that it failed to take action in response to the investigation by the PSC. According to BGE, the company did not terminate the employee in 2023 because the company needed to remain in compliance with BGE's Collective Bargaining Agreement with the Local 410 union, and the National Labor Relation Board's rules on "progressive discipline."
BGE said it instead suspended the former employee and monitored the former employee's performance. When more issues with the former employee resurfaced in April 2024, BGE said it initiated a new investigation, which revealed the falsified report.
According to BGE, the company also provided the PSC with a list of all projects inspected by the former employee. The PSC criticized BGE for failing to reinspect work done by the contractor, but BGE says there "was no need" to do so because the work that was related to the false report has not yet begun.
"BGE remains committed to transparency and accuracy in addressing concerns raised by the PSCED, but correcting these misstatements is essential to ensuring a fair and factual assessment of the situation instead of an arbitrary and capricious conclusion based on demonstrably inaccurate information," the company wrote in the filing.
BGE says inspections in question did not compromise safety
BGE added that inspections discussed in the PSC's report did not compromise the safety of the company's gas distribution system.
"While it is accurate that safety and compliance are, of course, a part of any inspection or audit, the PSCED has grossly misrepresented the former employee's specific job duties and overstated the impact these audits have on the overall safety of the gas distribution system," BGE wrote.
