Will CT See 11% Rate Hike?
Connecticut Customers know full well they for their CT electricity rates. Electricity bills here remain some of the highest in the country, year after year. That’s why no one’s happy to hear that Eversource has applied for a rate hike that could go into effect next year. But how high could your bills get and is it still possible to shop for the lowest electric rates? Let’s unwrap what you need to know as Eversource files an 11% rate hike.
Eversource Rate Hike Details
Back in May, Eversource told the PURA that they wanted to raise rates for the first time in a decade. The proposal would raise electric rates by an average of 11% across all CT customers on July 14, 2027. The utility explained its request is based on deficits caused by inflation and investments. You may also remember that Eversource also wanted money to cover their storm costs. Without it, bills would rise by about $40 a month for 700 kilowatt-hours (kWh) over the next 6 years. However, Eversource hopes PURA may allow securitization to cover storm cost repayment over 20 years at a lower interest rate. With this option, customer bills may only rise by about $25 a month for 700 kWh.
Since this rate hike affects the distribution portion of your bill, all customers would have to pay it. And that means customers who shop for cheap CT electricity rates. To compare, the current average CT home pays about $90 in distribution charges for about 700 kWh per month.
Lawmakers Respond To Eversource Request
Back in April, the Office of Consumer Counsel filed a brief with PURA detailing nearly $600 million in unjustified costs from Eversource in its response to Tropical Storm Isaias. These include inaccurate and duplicate invoices and improper timesheets. Consumer Counsel Claire Coleman called for PURA to cut the Eversource storm cost request in half.
In June, bipartisan group of nearly 70 lawmakers pushed back on the rate filing over Eversource‘s cost reporting. They urged PURA to reject every single dollar that isn’t justified.
The controversy deepened in late June when Eversource announced that it wanted to keep about 300,000 documents confidential as part of its filing. Critics said that while sealing certain documents is common in rate cases, no utility has ever requested so many. All the same, the utility garnered little customer sympathy afterwards when weekend storms caused over 94,000 outages in its territory.
Will CT Electric Rates Rise?
Obviously, the rate request will go through an intense PURA for review before it goes into effect. While it is true Eversource has not requested a rate hike in a decade, it is unclear if CT regulators will feel the hike is deserved. All the same, the best way to keep your monthly bills low is to shop for the cheapest electric rates.
You can start shopping for cheap CT electricity rates today at https://www.ctenergyratings.com. You can also count on us for news and tips that could affect your bills.