PSNH Announces July 1st Rate Adjustments
MANCHESTER, N.H., June 28, 2012—Most customers of Public Service of New Hampshire (PSNH) will see a net decrease in their electric bills beginning July 1st following a series of rate adjustments ordered this week by state regulators. As a result, PSNH Energy Service Residential customers using 500 kilowatt hours (kWh) of electricity per month will see a three percent decrease in their monthly bills beginning July 1st.
PSNH's Energy Service rate will drop to 7.11 cents per kWh, from 8.75 cents per kWh, a decrease of more than 18 percent. State regulators adjust PSNH's Energy Service rate at least annually, to reflect the company's actual cost of producing or purchasing energy for its customers. The primary reason for the decrease in PSNH's Energy Service rate is low energy market prices and a forecasted reduction in ongoing operating costs at PSNH's power generating facilities. Customers purchasing energy from a supplier other than PSNH will not be impacted by the Energy Service rate decrease and will continue to pay their supplier rate.
The PUC also ordered adjustments to PSNH's Stranded Cost Recovery Charge and distribution and transmission rates. The Stranded Cost Recovery Charge will increase primarily due to costs associated with state-sponsored agreements requiring PSNH to purchase power from five independently-owned biomass power plants. Transmission rates recover costs related to the delivery of electricity through the high voltage transmission system, while distribution rates recover costs related to the maintenance and operation of PSNH's local distribution system. The distribution rate increase is due to a scheduled step adjustment that is a provision of PSNH's last rate case with the PUC. The change in the transmission rate is based on costs allocated by ISO-New England, the regional entity that oversees the New England electric grid.
|Mike Skelton||Communications Specialist|