Starting July 1, 2024, Eversource Connecticut customers will see a significant adjustment to their electricity delivery rates, following approval from the Public Utilities Regulatory Authority (PURA). While this increase may raise concerns, it supports critical infrastructure improvements designed to enhance grid reliability and improve the quality of service for all ratepayers. Here’s a breakdown of the upcoming changes and their potential impact on your bill.
Key Details of the Rate Increase
Delivery Rate Adjustment: Delivery rates will increase by 40-60%, depending on your rate class. A significant portion of this increase is attributed to the Federally Mandated Congestion Charge (FMCC). This charge funds essential upgrades to transmission systems, enabling them to handle growing electricity demand and prevent potential disruptions.
Why the Increase?:
Infrastructure Investments: The increase will support much-needed upgrades to Connecticut’s electricity grid, improving reliability during extreme weather and periods of high demand.
Deferred Costs: The adjustment also addresses deferred costs from the COVID-19 pandemic, with these rate changes set to remain in place through April 2025.
Benefits for Customers: These improvements aim to stabilize long-term electricity prices and ensure consistent, high-quality service. While the upfront rate change may be noticeable, these investments are expected to yield cost efficiencies over time.
Impact on Your Bill
The FMCC will appear as an itemized charge on your monthly bill, calculated based on your electricity usage. Since it reflects annual infrastructure investments, the amount may vary from year to year.
While the upcoming rate increase may seem challenging, the improvements it supports are essential for ensuring a more reliable and resilient energy grid. These upgrades will not only enhance service quality but also contribute to a more stable pricing environment in the long term.
For additional information please contact us to schedule a quick call.