New England electric consumers may soon see substantial savings on their electric bills.
A federal administrative law judge recently ruled profits earned by electric transmission owners in New England are too high.
If the Federal Energy Regulatory Commission agrees to lower the profit threshold allowed for transmission owners, Connecticut customers could save up to $40 million annually, according to state documents.
Transmission plants route electricity from generation plants to local distribution networks. By federal law, transmission owners are allowed to generate a 11.14 percent return on equity, whereas local utility companies are allowed to  generate a profit closer to 9.2 percent.
“For years, New England utilities have been receiving exorbitant returns from customers for transmission lines,” said Consumer Counsel Elin Swanson Katz in a statement. “As anyone with a bank account knows, returns of over 11 percent are out-of-step with current financial conditions.”
FERC is expected to make a decision on the case sometime after Oct. 24.
