Norwich ― The rising cost of energy will hit Norwich residents and businesses harder starting Nov. 1, when Norwich Public Utilities bills will increase by 10 to 12% to reflect the current cost to purchase electricity and natural gas, on top of prescheduled electric and gas rate increases.

NPU estimates the average Norwich residential customer with all four utility services ― electricity, natural gas, water and sewer ― will see a $36, or 9.9% increase in the monthly bill.

Residents with only electricity service will see an average $17 monthly increase — about 12.5%. Those with natural gas will see a $15 increase, also 12.5% per month. The combined average increase per month for customers with both those services is $32.

The increases include both the pre-cheduled 2.3% natural gas rate increase and the 1% electricity rate increase, along with the new monthly Purchased Power Adjustment for electricity and Purchased Gas Adjustment, as shown on customers’ bills.

NPU spokesman Chris Riley said Thursday that cost-saving measures to lessen the impact of rising power and natural gas costs on customers were not enough to cover the global skyrocketing energy costs.

“Obviously, the cost of energy is impacting everyone all over the world, not just Connecticut and NPU,” Riley said Thursday.

NPU is a member of the Connecticut Municipal Electric Energy Cooperative, and purchases electricity through the cooperative. CMEEC’s profits are held in a rate stabilization fund to be used by member utilities to reduce costs for customers. This year, NPU already has used $1 million from its rate stabilization fund to lessen the impact of rising electricity costs, Riley said.

“This is always a balance between providing rate relief for the current year versus having funds on hand for future years, when prices could increase, as they have over the past 18 to 24 months,” Riley said.

In 2014, NPU purchased additional natural gas pipeline capacity from providers in Pennsylvania and Texas to lower Norwich natural gas costs. Without the added capacity, gas bills could have jumped 30%, Riley said.

NPU gas customers also saved $975,000 starting in July, when the state eliminated a gross receipts tax on municipally owned natural gas companies.

Thousands of residential and business customers fell behind on bills during the COVID-19 pandemic. NPU reached special payment agreements with about 1,500 customers with $1.2 million in overdue bills.

Norwich Human Services Director Kate Milde said Friday that her office is gearing up to meet the already increased demand for financial assistance. The office has been short-handed and was forced to cut walk-in service. The office received about 700 calls per month for assistance over the past three months.

The city allocated $900,000 to Norwich Human Services in its first-year American Rescue Plan Act grant. Milde said $250,000 has been allocated, mostly for utility assistance, and the department will push to get more money spent to help families this winter.

Norwich Human Services named Heydi Mercedes-Zayas as new manager of the Adult and Family Division and will hire two additional caseworkers to address the backlog. Caseworkers will refer applicants to Operation Fuel and federal Low Income Home Energy Assistance Program as well.

The winter moratorium on utility shutoffs begins Nov. 1, but Norwich Human Services and NPU are encouraging residents to apply for assistance now.

NPU pays for a representative from Thames Valley Council for Community Action to be stationed at the NPU customer service office to help process applications for energy assistance. This year, TVCCA provided $2 million in assistance to 2,000 NPU customers.

NPU also has an incentive plan to assist customers with delinquent bills, providing a matching payment forgiveness of up to $600 for low-income qualified residential natural gas or electric heat customers who make payments on back balances. Participants must have received energy assistance the previous heating season.

c.bessette@theday.com