What you need to know about Eversource’s proposal

Eversource Energy filed a request Monday with Connecticut’s Public Utilities Regulatory Authority for a rate increase that was initially approved last summer before it was suspended weeks later. Utility regulators suspended the increase in part because of customer complaints about the size of the increase and the fact it was coming in the midst of a pandemic that has wreaked havoc on the state and national economies.

Some questions and answers about the Eversource request:

Q: Why is Eversource calling for a rate increase?

A: Regulated utilities are allowed to recover certain costs associated with doing business. It is the job of PURA’s commissioners to determine which expenditures can be recovered and those that can’t be.

Q: What are the differences between the two rate options?

A: The first option would increase customers bills by a larger amount than the second option because the second option is spread over three years.

Q: How does PURA determine whether or not to approve either option?

A: PURA holds a series of hearings. During these quasijudicial proceedings, its commissioners hear testimony from its own staffers who have reviewed the rate increase request, as well as utility officials and Connecticut’s Consumer Counsel, whose job it is to protect consumer interests in utility rate cases.

Q: If passed, roughly how much can customers expect their rates to increase and when?

A: If the first option is approved, customers electric bills will increase by $12.55 per month, starting on May 1. The second option would implement the rate in two phases with increases would take effect on May 1 and Oct. 1, with first hike being $1.06 and the second one raising the bill by $5 or 3.24 percent to $159 per month.

Q: How is this different than other Eversource rate increases?

Twice a year, the state’s two large electric utilities file rate requests concerning the generation portion of customers bills. The outcome of these hearings only impacts what are known as “standard service” or “standard offer” customers, those who let the utilities purchase power for them rather than having a third-party provider do that. Based on the outcome of those cases either increase or decrease every Jan. 1 and July 1.