The state Public Utilities Regulatory Authority announced Monday that it has approved revised generation rates for residential and business customers taking Standard Service generation from Eversource Energy and the United Illuminating Co. 

UI and Eversource, formerly known as the Connecticut Light & Power Co., recently submitted proposed winter cycle rates based on competitive auctions held earlier this year to procure the electricity needed to meet forecasted load, PURA said in a news release.

The bid process, underlying calculations and resulting rates were analyzed and verified by PURA technical staff, and approved today by PURA's commissioners at a public meeting.

Effective Jan. 1, Eversource's residential generation rate will change from 8.228 cents per kilowatt-hour to 9.555 cents per kilowatt-hour. UI's residential generation rate will change from 9.1241 cents to 10.7358 cents per kilowatt-hour.

The Standard Service generation service rates for other residential and business customer classes also are set to change effective Jan. 1.

The new rates will be in effect through June 30, and represent an approximately 24 percent reduction when compared to the winter cycle rates in effect from January 2015 to June 30, 2015, for Eversource. For UI, the year-to-year reduction in winter cycle rates is 20 percent, PURA said.

The generation rate — which recovers the cost to generate electricity — comprises roughly 50 percent of the monthly electric bill for most residential users. 

Other charges on electric bills that recover the cost to deliver electricity were adjusted by the PURA earlier this year, and include distribution and public benefit charges, PURA said. Delivery costs also include transmission charges, which are set by the Federal Energy Regulatory Commission. 

Approximately two-thirds of Connecticut’s residential customers receive Standard Service generation from Eversource and UI, PURA said. The remaining residential customers have chosen to receive their electricity from licensed electric suppliers, whose rates may be more or less than the Standard Service depending upon contract terms and the energy source, the agency said. 

Customers can compare UI and Eversource Standard Service generation rates to licensed suppliers' current offers on Connecticut's official generation rate board at www.energizect.com. From the home page select "Choose Your Electric Supplier."