CORRECTED: ENERGY AFFORDABILITY LEGISLATION HELPING TO REDUCE HUNDREDS OF MILLIONS OF DOLLARS IN ELECTRICITY COSTS
FOR IMMEDIATE RELEASE
Contact: Joe O’Leary | Joe.OLeary@cga.ct.gov | 508-479-4969
MARCH 25, 2026
CORRECTED: ENERGY AFFORDABILITY LEGISLATION HELPING TO REDUCE HUNDREDS OF MILLIONS OF DOLLARS IN ELECTRICITY COSTS
Affordability legislation enacted over the last several legislative sessions, as well as recent developments at the state and federal level, are helping to generate hundreds of millions of dollars of savings on electricity costs.
In an informational forum presented Tuesday, the Department of Energy and Environmental Protection provided an update on the implementation of Senate Bill 4, recent state affordability initiatives and recent federal law changes and policy developments that are valued at roughly $500 million in 2026.
These savings are expected to help offset costs across different many parts of electric bills. Some may materialize over several years.
“Energy policy in Connecticut is complicated, and the Public Benefits Charge, long maligned and targeted as costing state ratepayers, is proof of that. Saving ratepayers through renewed focus on reducing costs and diversifying our grid’s energy sources is huge, especially with energy prices rising globally,” said State Senator Norm Needleman (D-Essex), Senate Chair of the Energy and Technology Committee. “It’s the result of years of hard work through Take Back Our Grid, SB7 and SB4, among other bills the Energy and Technology Committee passed in recent years, and evidence that we’re making progress in making sure ratepayers receive the relief they deserve.”
DEEP Commissioner Katie Dykes said during the forum that the state is working to exercise tools increasing state power supply to reduce future risks. When reviewing cost savings in energy supply procurement, the reductions include renewable portfolio standard reforms lowering supply costs by $60 million each year. Transmission oversight, put in place by new legislation in recent years, has the potential to improve efficiency and cut costs in the transmission charge as well. The removal of utility bonus incentive for ISO-NE participation will save several million dollars per year, and a new Federal Energy Regulatory Commission decision on utility compensation for transmission could represent up to $30 million per year in further savings.
Policies including the state’s contract with nuclear power plant Millstone delivered $400 million in savings so far in its lifetime, with bonding for hardship charges and electric vehicle charger costs shifted to state bonding, offsetting another $150 million in costs that are otherwise paid for through the public benefits charge.
Legislation under consideration during this year’s legislative session to enhance the state’s nuclear workforce and extend current solar programs, with an eye on keeping costs low, is expected to further aid the grid.
Both DEEP and the Office of Consumer Counsel noted Connecticut’s legislative successes are delivering real results, to the point they’re being used as a model for other states as energy costs increase nationwide.
Further information presented by ISO-NE, the independent grid operator for New England, showed the state is increasing its use of natural gas, nuclear and renewable energy in the last twenty years while reducing oil and coal power generation.
For more details, presentations by DEEP and ISO-NE is available at this link and this link, respectively.
This press release was updated to reflect that the upcoming changes to the public benefits charge will be spread out over the course of several years, not just 2026.