electric rates

Eversource Explains Why Your Electric Rates Could Have Gone Up

They say it’s largely being driven by people using more electricity with more people working from home and people cranking up the air conditioning.

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We are hearing from thousands of people concerned about their recent electric bill from Eversource. Some are reporting it’s the most they’ve ever been charged.

So what’s behind the spike?

The company says a scorching summer is one of the main reasons people are paying more for electricity. They say it’s largely being driven by people using more electricity with more people working from home and people cranking up the air conditioning.

Eversource explains why electric rates could be higher than normal.

“We understand their situation. This has been a tough time for a lot of people. These times are unprecedented," Eversource Spokesperson Mitch Gross said.

What you pay depends on two things: the cost of electricity and delivery.

Starting July 1, the supply charge per kilowatt-hour rate actually went down about 22% for most customers, according to Eversource.

An Eversource spokesperson explained to us what delivery costs mean for you.

“First of all, there is money for us so we can continue to give you a strong and reliable electric system. A portion of that, those delivery system charges, go to us so we can do the work we need to do. On top of that, there are state programs. There are taxes, both on the state and federal level. There are all kinds of fees that are built into that side of the bill," Gross said.

Starting July 1, some of those delivery items did go up. Those include charges that Eversource is passing along including what’s called the Non-Bypassable Federally Mandated Congestion Charge which almost doubled to about three cents per kilowatt-hour.

The company says delivery fees are largely based on usage as well as taxed and fees.

Eversource says that fee mostly went up due to payments associated with the state-approved power purchase agreements for the Millstone Nuclear Power Plant. They say those agreements were entered into as a result of legislation.

All changes are approved by state regulators.

“No adjustment can occur to your bill without review and approval by state regulators, the Connecticut Public Utilities Regulatory Authority. We must run everything by them before you see anything change on your bill," Gross said.

Eversource encourages those with concerns about their bill to contact them and see what options might be available. They also suggest using this time to think about upgrades to make your home more energy-efficient.

"I was really shocked. It caught me off guard," Anthony Sanchez of Meriden said about his rates going up.

Sanchez says his electric bill for his two-bedroom condo jumped from $214 last month to $314 this month.

We’re going to have to dip into our savings. Luckily we still have our stimulus check. So we were keeping that for a rainy day and going to have to use some of that for this," Sanchez said.

"It's going to be difficult because I have a six-month-old and I have a four-year-old so we got to keep the AC on," Sanchez continued.

Many have situations similar to Sanchez’s where the delivery charge, in his case $204, was higher than the supply charge, $105.

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