With electricity prices dropping from their historic highs, Eversource filed with the Public Utilities Regulatory Authority on July 1 to pass the savings on to its Connecticut customers.
If approved, the average supply rate for Standard Service customers will decrease from the current 12.42 cents per kilowatt-hour (kWh) to 8.25 cents, a savings of almost 20 percent. This means an average residential customer using 700 kWh monthly will see a reduction of almost $31.00 in their monthly bill. The new rates would be in effect from July 1st through December 31.
“The historically high prices we’ve been paying to electricity generators have made this a very difficult winter for most customers in the region,” said Penni Conner, Senior VP and Chief Customer Officer at Eversource. “With prices now falling back to levels even better than a year ago at this time, we’re thrilled to pass along the savings to our customers at the time of year when air conditioner use will be at its peak.”
As a regulated energy distribution company, Eversource purchases electricity from wholesale suppliers on behalf of its customers and passes the cost directly to them with no profit to the company. By law, the Standard Service price changes twice a year, on January 1st and July 1st. All Eversource customers have the option to buy their power from other retail suppliers or go with the company’s Standard Service rate. The new rate will affect approximately 801,000 or 64 percent of Eversource’s 1.25 million Connecticut customers and is separate from the company’s delivery rates.
More than half of New England’s electricity is now produced using natural gas. Though natural gas remains an abundant and inexpensive fuel, regional pipeline limitations and the growing dependency on gas to produce electricity will continue to affect electricity prices in the near-term, particularly during the winter months when demand for natural gas is highest. Eversource is committed to pursuing strategic projects to help solve these challenges. For example, the company has partnered with Spectra Energy and National Grid on the proposed Access Northeast project to expand the region’s natural gas capacity using existing pipeline routes. Additionally, Eversource’s proposedNorthern Pass Project will bring clean, low-cost energy from Hydro-Quebec’s world-class hydroelectric plants into New England.
Eversource (NYSE: ES) transmits and delivers electricity to 1.2 million customers in 149 cities and towns and provides natural gas to 220,000 customers in 71 communities in Connecticut. Eversource harnesses the commitment of its more than 8,000 employees across three states to build a single, united company around the mission of delivering reliable energy and superior customer service. For more information, please visit our website (www.eversource.com) and follow us on Twitter (@EversourceCT) and Facebook (facebook.com/EversourceCT).