More than 830,000 Connecticut businesses and residents will see their electric bills drop starting next year as the state’s utilities are lowering generation rates.
The Public Utilities Regulatory Authority has approved lower generation rates for Berlin-based Connecticut Light & Power and New Haven-based United Illuminating starting Jan. 1. The decision impacts the 62,322 business customers and the 771,752 residential customers who still buy their power directly from the utility. Those customers who made the switch to an alternative electric supplier will not see a change as a result of the decision.
For CL&P customers, the generation rate will decrease 0.7 cents to 7.615 cents per kilowatt-hour – a savings of about $5 per month. The generation rate for UI customers will drop 1 cent to 7.6974 cents/kilowatt-hour – a savings of about $7.50 per month.
As a regulated utility state, Connecticut ratepayers can choose any electric supplier for the generation portion of their bills, which makes up roughly half the total costs. As of October, 61 percent of business and 46 percent of overall ratepayers choose an alternative supplier other than the utilities.
All Connecticut ratepayers will see additional savings credits on their bills come January, as they receive a portion of a $5 million settlement to the state from Baltimore power provider Constellation Energy over an alleged manipulation of the power market in 2007-2008.
