The Office of Consumer Counsel plans to oppose the $100 million increase in distribution rates proposed Friday by the United Illuminating Co. over the next three years.
United Illuminating filed an application with the Public Utilities Regulatory Authority (PURA) to raise its distribution rates effective Jan. 1, 2017, as well as incremental increases annually on Jan. 1, 2018 and 2019.
According to the consumer counsel’s office, United Illuminating is requesting annual rate increases of $65.6 million in rate year 2017, an incremental $21.1 million in 2018, and an additional $13.4 million in 2019. This represents an increase in distribution rates of nearly 30 percent over the three-year period.
Consumer Counsel Elin Swanson Katz said Connecticut residential electric rates remain some of the highest in the continental United States, and United Illuminating’s bills are the highest in Connecticut. She said United Illuminating’s current residential distribution rates (including the fixed customer charge) already average 8.75 cents per kilowatt hour (kWh) compared to Eversource’s rate of 6.02 cents per kWh. United Illuminating’s rate application, if granted, will drive those kWh rates higher.
Katz added, “United Illuminating completed its merger with Iberdrola-USA at the end of 2015. My team will be thoroughly investigating [its] filing to ensure that the merger is not adversely impacting the costs of providing electric service.”
