Governor Lamont, State Officials Work With Utilities to Advance a Short-Term Customer Relief Plan To Reduce the Cost of Energy Supply Prices

Press Release

Governor Ned Lamont today announced that in response to calls from his administration and other Connecticut state officials -- including the Department of Energy and Environmental Protection (DEEP) and the Office of Consumer Counsel -- to do more for customers in the state amid historically high electric prices, utility companies Eversource and United Illuminating (UI) have agreed to work with state leaders on a short-term/interim Customer Relief Plan to provide immediate relief to electric customers this winter.

Connecticut state leaders have emphasized the importance of acting quickly and advancing options to reduce bill impacts for low and middle-income customers who are struggling to pay electric bills under unprecedented economic circumstances.

The package of near-term actions developed through the combined efforts of Governor Lamont, DEEP Commissioner Katie Dykes, Consumer Counsel Claire Coleman, Eversource, and UI is in part the result of benefits from the long-term clean energy power contracts signed at the direction of the Lamont administration and the Connecticut General Assembly to help secure the future of the Millstone nuclear power plant and other carbon-free generation resources. Eversource and UI have also agreed to corporate contributions for energy assistance to provide support for customers.

The Customer Relief Plan has multiple elements:

Today, Eversource and UI will file a motion with the Public Utilities Regulatory Authority (PURA) seeking approval for the establishment of bill credits to fast-track the return of long-term power contract earnings to all customers starting January 1, 2023. This proposal will provide Eversource customers with a monthly bill credit of around $10 per month -- approximately 12.5% of the average customer increase this winter -- for the peak winter months starting January 1, 2023, and continuing through April. Data on how this will impact UI customers is being calculated and is expected to be available soon.
The companies will also seek approval for a discount for low-income hardship customers to accelerate the 2021 Take Back Our Grid Act provision enabling a low-income discount rate by providing a flat-rate credit to financial hardship customers starting in January 2023 until the new PURA-approved low-income discount rate goes into effect in 2024.
In order to provide additional assistance to customers struggling with unusually high energy prices this winter, the Customer Relief Plan also includes an Eversource shareholder expense of $10 million for energy assistance to customers in need, including moderate and middle-income customers who are struggling to pay their bills.
UI has agreed to pay $3 million to Operation Fuel for direct assistance for electricity and heating costs, subject to PURA's approval of a settlement agreement with the Office of Consumer Counsel.

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