The Public Utilities Regulatory Authority on Wednesday finalized its preliminary decision to approve a distribution rate increase of $130 million for Berlin electric utility Connecticut Light & Power, a significant reduction in the company’s original request.
The final decision – basically maintaining all of its preliminary decisions made on Dec. 1 – raises the basic connection fee for customers from $16 per month to $19.25 per month; decreases CL&P’s return on equity for its distribution infrastructure to 9.17 percent; and penalizes the utility $4.4 million for its inadequate and deficient response to the 2011 power outages.
CL&P originally asked for a $232 million increase in June but later revised that number to $221 million in September. That figure included amounts already pre-approved by PURA in previous cases, such as $89 million for storm recovery costs.
The distribution rates approved on Wednesday are only part of ratepayers’ bills, which include other major charges such as generation and transmission. The PURA ruling is expected to increase CL&P residential customer bills about $7 per month, depending on usage.
