Businesses, state hopeful for federal disaster funding
For the second time in three years, Fairfield County businesses awaited word on applying for federal disaster relief in the wake of a punishing nor”™easter.
Connecticut Light & Power Co. marshaled more than 200 repair and tree crews in the wake of the mid-March, which killed a Greenwich woman and at its height knocked out power to some 80,000 residents.
Area utilities said it may have been the most damaging storm to hit the area since Hurricane Gloria in 1986.
Gov. M. Jodi Rell issued a state of emergency for the region, and said Fairfield County will qualify for federal disaster assistance if damage exceeds $2.85 million. That was last the case in April 2007, after a nor”™easter flooded many parts of Fairfield County.
In addition to dealing with power issues, flooding, wind damage and debris, businesses had to deal with school shutdowns in Greenwich, Stamford and other towns, forcing some workers to scramble to make child care arrangements. With the return of sunshine on Tuesday morning, March 16, more than 38,000 Fairfield County CL&P customers were still experiencing interrupted power, including more than half of its customers in New Canaan and nearly half in Greenwich.
Rell later announced March 16 she has asked the Department of Public Utility Control and the Department of Emergency Management and Homeland Security to examine the actions of Connecticut Light & Power Co. and United Illuminating Co.
Rell said she heard from many municipal leaders, fire and police chiefs and emergency management officials who complained the utility companies were slow to respond to the storm.
NORTHEAST UTILITIES
After a $12 million test of “smart” meters last summer in Stamford and elsewhere, CL&P parent Northeast Utilities said the devices encouraged residents to cut power between 2 p.m. and 6 p.m., typically the peak period for electricity use.
The meters used in the test allowed CL&P to remotely adjust air conditioners to raise the temperature at a customer premise by four degrees Fahrenheit, according to the Hartford Courant.
Northeast Utilities indicated residents appeared to cut back on their use of energy to a greater extent than businesses. The test included “energy orbs” manufactured by Massachusetts-based Ambient Devices, which were programmed to change color according to changes in electrical demand. CL&P said the orbs appeared to have little impact on business electricity use, but added that they were a popular option with retail businesses due to the attention they generated among their customers.
CL&P plans to submit a full report on the pilot test to state regulators by the end of the month.
CL&P
The Connecticut Dept. of Public Utility Control opened hearings on CL&P”™s request to increase rates 5 percent from what it is currently allowed to charge, saying the funds are needed to offset continued improvements to the grid, and that an increase will be offset as the utility amortizes bonds.
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Attorney General Richard Blumenthal testified that DPUC approval will hurt the state”™s economy.
“I have spoken personally to manufacturers and other businesses ”¦ whose rates are skyrocketing, crippling their financial success and job creation,” Blumenthal said.
“With Connecticut”™s economy struggling, recovery and job creation demand lower power prices. Our state”™s astronomical electricity costs are a significant drag on job creation and must come down. Our economic competitiveness requires lower electricity prices, which DPUC can achieve by denying this ill-considered and unnecessary rate increase.”
NRG
NRG Energy is laying off 70 workers at power plants it operates in Norwalk, Milford, Middletown and Montville, about a third of its Connecticut workforce.
The company attributed the cuts to the expiration of contracts it has with ISO New England, the Holyoke, Mass. overseer of the wholesale power market in the region.
Princeton, N.J.-based NRG reported a $294 million profit from its Northeast operations in 2009.