The state Public Utilities Regulatory Authority on Wednesday compromised with Orange electric utility United Illuminating over its proposed $91 million rate request.
PURA granted a rate increase of $46 million over two years, an increase of 17 percent.
UI originally requested $91 million to cover costs like storm recovery and its new Orange headquarters. PURA, in a draft decision in July, originally planned on awarding an increase of $37 million.
UI vehemently objected to that draft decision, calling it unrealistic on the realities of the electric utility market.
The final decision made changes such as cutting UI’s $53.3 million request for storm expenses by $7.2 million, adjusting its return on equity to 9.15 percent from the proposed 10.25 percent, and setting a $2 million annual mark for storm recovery costs.
