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    Sunday, May 12, 2024

    Authority approves increase in CL&P's Standard Service generation rate

    The state Public Utilities Regulatory Authority today approved an increase in Connecticut Light & Power’s new Standard Service generation rate for the electricity it buys on behalf of its customers.

    The average Standard Service rate will increase to 12.45 cents per kilowatt hour, from the current 9.96 cents, CL&P said in a news release.

    In a separate news release, PURA said it also approved a Standard Service rate increase for United Illuminating, which serves the New Haven area. UI’s rates will increase from 8.67 cents per kilowatt hour to 13.31 cents. PURA said UI and CL&P generation service rates for other residential and business customer classes will also change Jan. 1. The generation service rate comprises about 50 percent of the monthly electric bill for most residential users. PURA said about 40 percent of Connecticut’s residential customers receive standard service generation rates from CL&P and UI, while the remaining customers receive electricity from competitive approved suppliers, which may be more or less than the standard offer.

    As a regulated delivery company, CL&P must purchase electricity from suppliers for its customers who elect the Standard Service generation option, CL&P said. Those costs are passed directly to customers with no profit to the company. By law, the Standard Service price for residential and small commercial customers changes twice a year, on Jan. 1 and July 1. The Standard Service rate pertains only to the generation portion of the monthly electric bill. This increase is separate from CL&P’s rate case filing, which focuses solely on the delivery portion of the customer bill.

    The current spike in the cost of electricity is not only affecting Connecticut, but all of New England, since more than half of the region’s electricity is produced using natural gas, the company said. Although natural gas remains an abundant and inexpensive fuel, regional pipeline limitations and the growing dependency on gas to produce electricity are pushing prices higher.

    To help customers manage costs this winter due to the electricity price increase, the company is promoting energy efficiency options to help control energy use and costs. A variety of energy efficiency tips, bill payment options and information on assistance programs can be found at: www.cl-p.com, along with a listing of the new rates which go into effect on Jan. 1.

    PURA advised customers to compare current offers at: www.energizect.com or by calling (877) 947-3873.

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