Dominion not asking for subsidy from Connecticut

The letter to the editor “Dominion handout will increase electric rates in Connecticut” from John Erlingheuser of the American Association of Retired Persons is wrong on several points. It is important to point out that the legislation he is criticizing has not been written yet — therefore his claims are all based on his own speculation, not facts.

Here’s what we do know: Connecticut has the highest electricity rates in the country and state legislators are working on a new law that would allow Connecticut to take advantage of its greatest power generation asset — the Millstone Power Station — to lower prices for everyone. Dominion, the owner of Millstone, is not seeking and has not asked for a subsidy of any kind from the state to make this happen. The legislature is only considering allowing Millstone to compete in an auction to sell power directly to distribution companies.

The cochairman of the Energy and Technology Committee, Sen. Paul Formica has said, “It is in no way, shape or form a subsidy. It is an opportunity to bid. If the bid is accepted by the state Department of Energy and Environmental Protection, it would have to be in the best interests of the ratepayers” (“Power producers group launches campaign to stop Millstone bill ,” Day of New London, March 2).

This would eliminate the middlemen in the electricity marketplace and lead to reduced prices regardless of whether Millstone wins in the bidding process. If this proposed legislation becomes law, consumer prices will go down. If it does not become law, chances increase that prices will stay the same or go up.

It is unusual for AARP — which prides itself as an organization dedicated to helping consumers — to take such an anticonsumer position, particularly before the facts are known. — Kevin Hennessy, director State Policy for Dominion in Connecticut