Low-income electric customers in Connecticut will soon see savings

Thousands of customers across Connecticut will soon be paying less for electric. Eversource and United Illuminating will offer eligible customers a new low-income discount rate (LIDR) beginning in December.

Last year the Connecticut Public Utilities Regulatory Authority (PURA) directed Eversource and UI to establish a low-income discount rate to improve the affordability of electric rates in the state. PURA required Eversource and UI to start offering the discount no later than Jan 1, 2024.

Eversource and UI customers who already have a financial hardship status on the account will automatically receive the new rate. According to PURA, at least 28,000 UI customers and at least 74,000 Eversource customers will benefit.

Households with incomes at or below 60% of the state median income are eligible to receive a 10% discount on their monthly electric bill. Households with an income at or below 160% of the federal poverty guidelines are eligible to receive a 50% discount on their monthly bill, according to PURA.

For example, a household of four making approximately $79,910 would be eligible for the 10% discount. If that household's bill is $100, they would see a savings of $10 per month. A household of four making $48,000 would qualify for the 50% discount and would see a savings of $50 per month on a $100 bill.

According to PURA, customers must recertify their eligibility each year to remain enrolled in the discounted rate.

How to get the discounted rate

Customers who already have a verified financial hardship on their account do not have to do anything. They are already pre-enrolled for the discounted rate.

Customers (who don't have a financial hardship status on their account) must submit receipt of a public assistance benefit for at least one household member or proof of income for all household members over 18 to verify eligibility, according to information provided by UI and Eversource.

Eversource customers can check if their income meets this LIDR criteria at this website. They can also call 800-286-2828.

United Illuminating customers can send documentation to hardship@uinet.com. For more information, click here.

“This new low-income discount rate coupled with our other programs and assistance that are available can really help make a difference for lower income customers and their families," said Jess Cain, vice president of customer operations for Eversource.

Norwich Public Utilities community assistance rate proposal

Norwich Public Utilities is not regulated by PURA and, therefore, not required to offer customers a low-income discount rate. However, NPU is proposing a community assistance rate of its own.

"It's the right thing to do. We certainly see that is the direction the industry is going in. We like to be ahead of the curve when we can," said Chris Riley, a spokesperson for NPU. "Our community has a number of people who are struggling and we want to do what we can to help them."

If approved by the NPU Board, eligible Norwich customers would be offered a discounted rate beginning in November. NPU's proposed Community Assistance Rate would provide qualified customers a 10% discount on the electric portion of their monthly bill.

Households with incomes below 60% of Connecticut's median household income by family size would be eligible. NPU estimates that 20% of the households in Norwich would be eligible for the new rate, according to a press release.

Customers who are enrolled in autopay would receive an additional 10% discount each month.

"We think that can make a significant difference for thousands of people in Norwich," said Riley.

In addition to saving customers money, NPU believes the proposed rate will help reduce the number of past-due accounts.