Submitted by Mitch Gross
(May 18, 2023) — As the price of energy continues to trend downward, Eversource has filed a new Standard Service rate with Connecticut’s Public Utilities Regulatory Authority (PURA) that would go into effect from July 1, to December 31, 2023. This comes after energy prices hit historic highs in New England last year due to natural gas supply constraints related to the continued war in Ukraine and global demand.
If approved by PURA, the new rate for residential customers who receive their energy supply from Eversource would change from the current 24.17 cents per kilowatt-hour (kWh) to 13.82 cents per kWh, compared to 12.19 cents per kWh last summer. In Connecticut, the energy supply price changes twice a year – January 1 and July 1. Eversource does not earn a profit on the cost of electricity. The company charges customers only what it pays generators for producing the power, and there is no mark-up. A customer’s total bill will depend on how much energy is used, their rate category, and weather conditions.
“The volatility in the energy markets has hit our customers hard in the past year, so we’re pleased to let our customers know about the new rate that will provide some relief in energy prices this summer,” said Eversource President of Electric Operations in Connecticut Steve Sullivan. “It’s important to remember, though, on average, Connecticut customers use 35% more electricity during the summer months with air conditioners, fans and other appliances working overtime to keep things cool inside. That’s why we continue to urge everyone to take advantage now of the many energy efficiency and payment programs that we offer – before the hot weather arrives.”
A line item on the delivery side of the bill will also be adjusted beginning July 1, 2023. If approved by PURA, the total delivery charge would change from $0.11751 cents per kilowatt-hour to $0.14107 cents per kilowatt-hour and would mean an increase of approximately $16 to customers using the average 700 kwh per month.
This increase is primarily due to the expiration of a roughly $12 a month credit on customers’ bills that went into effect in January to ease the burden of high energy costs. All told, Eversource customers signed up for Standard Service and using an average of 700 kWh per month will see an overall decrease of $56, or 22% on their total bill. While the lower supply rate is welcome news, the energy company is also informing customers they should expect continued market volatility and higher supply costs this coming winter.
