HARTFORD – Beginning tomorrow, September 1, more than 1.5 million Connecticut households will see their electric bills drop by $93-$120 a year.
“At a time when electric bills continue to rise, causing difficulties for many, this is a small but welcome step in the right direction,” said Sen. Needleman. “While it’s not enough – and I plan to find ways to provide more relief in the near future – it will still provide savings and relief for many people. The energy market remains volatile due to global events but I’m hopeful more can and will be done to help out the public.”
Two weeks ago, the state Public Utilities Regulatory Authority (PURA) lowered allowable electric rates for Eversource and United Illuminating that are expected to save the average residential Eversource electric customer (who uses 700Kw of energy per month) $9.78 per month, and save the average United Illuminating customer $7.72 per month. Savings would be higher for people who use more energy.
The lower rates are effective from tomorrow, September 1, 2022, through April 30, 2023.
Eversource serves 1.2 million Connecticut electric customers in 149 towns, and United Illuminating serves 341,000 Connecticut electric customers in 17 towns in Fairfield and New Haven Counties, including Bridgeport and New Haven.
The electricity price cuts are the result of energy company savings that are tied to state-approved purchase agreements from Dominion Energy’s Millstone nuclear power station in Waterford. In 2017, the state legislature approved a new law that permitted Millstone to compete with other carbon-free sources of electricity, including hydro, wind and solar. Then, in 2019, Governor Lamont announced that PURA had approved a new contract between Dominion, Eversource and United Illuminating requiring the utilities to purchase approximately 50 percent of Millstone’s output (9 million MWH/year) for 10 years.
That cost savings is driven by the millions of dollars the electric companies saved by buying power from Millstone and the Seabrook Nuclear Power Plant at rates that are now below the market average in New England.