Kai Belton

If you saw an unwelcome rise to your electricity bill this month, I share your frustration and want to provide more information about the factors contributing to it.

Customers typically use an average of 35% more electricity during the summer months to stay cool and this summer, Connecticut has experienced several heat wave contributing to greater electric usage.

However, the most notable increase when looking at the bill, is the increase in the Public Benefits portion of the bill. The Public Utilities Regulatory Authority (PURA) discussed phasing in the increase over 22 months, to avoid rate shock. The utility companies advocated for a 10 month recovery which was approved by two of the three PURA commissioners.

Approximately 77% of the increase is the result of Public Act 17-3 , which was a Republican-led deal that required Eversource and UI to purchase power from the Millstone power plant.
 
The remaining 23% of the increase is due to assistance programs like the Low-Income Discount Rate that was championed and voted on by both Republicans and Democrats in the Take Back Our Grid Act (sec 5) and unpaid bills incurred during the COVID moratorium for those suffering from financial hardship. The moratorium prevented those that did not pay from being shutoff. Since the moratorium has been lifted, utility companies are able to shut off customers and return to some of the pre-Covid collection practices. The moratorium was not debt forgiveness. If a customer did not pay their bill, they are in arrears (debt). That debt stays with them, it is not forgiven. The utilities will work with them to put them on a plan to pay down that debt. 
 
While the legislature intends to evaluate the public benefits charge during the next legislative session that begins in January 2025 or in a special session if called by the Governor, previous action to control electricity costs is just coming online. We passed the Take Back Our Grid Act in 2021, which contained some significant reforms, including strengthening PURA's ability to scrutinize and review rate increases and performance-based regulation. In 2023, PA 23-102 became law, providing predictability and transparency for rate payers and prohibiting utility companies from using electric rates to pay for their lobbying, marketing, and travel/lodging for company executives. 
 
At the federal level, the U.S. Department of Energy has also selected the Power Up New England proposal, submitted by Connecticut and its neighboring New England states, to receive an award of up to $389 million through the second round of the Bipartisan Infrastructure Law’s competitive Grid Innovation Program (GIP). Power Up features significant investments in regional electric infrastructure that will provide the New England region with access to thousands of megawatts of offshore wind, greater resource diversity, and increased reliability while lowering consumer costs and reducing greenhouse gas emissions.