PURA approves Eversource settlement; $103.4M to be returned to utility’s customers
The Public Utilities Regulatory Authority (PURA) has approved Eversource”™s plan to increase local accountability and control, which includes returning $103.4 million to Connecticut families affected by the utility”™s response to August 2020”™s Tropical Storm Isaias.
The agreement also stabilizes electric distribution rates until at least January 2024.
The agreement directs $65 million in Eversource funds to be immediately returned to customers in the form of two credits on their December and January bills. The average customer will see a $35 total credit.
Eversource further has agreed not to appeal a $28.4 million penalty levied by PURA due to the inadequate response to Isaias. Ratepayers are currently seeing that as a credit on their bills under “TS Isaias Performance Penalty.”
In addition, the utility has agreed not to apply for a rate increase until at least January 2023 for rates that could not take place until at least January 2024.
The remaining $10 million will be used to assist customers who are having difficulty paying their utility bills. All customers are currently eligible to participate in a 24-month payment plan ”“ without fees or interest ”“ to pay down any arrearage they have and to avoid any service disconnection.
The agreement further requires Eversource to create a new Connecticut-based president of Connecticut Light & Power to improve local accountability and control and to add new seats to its governance board for representatives from Connecticut. Eversource will also commit to continuing and enhancing its Connecticut-based training and apprenticeship programs to ensure statewide access to line worker career opportunities and adequate staffing of line workers in Connecticut.
“We learned valuable lessons as a result of Tropical Storm Isaias and have made numerous improvements that have changed how we respond to communities and communicate during storms,” an Eversource spokesperson said. “We look forward to moving on and winning over ”˜hearts and minds”™ in Connecticut by demonstrating our commitment to both customers and Connecticut leadership, at a time when we must work together to deliver a new clean energy future.”
Gov. Ned Lamont applauded PURA”™s approval of the settlement, saying: “The end result is immediate savings for consumers on their upcoming energy bills, and a level of accountability which shows our residents that a company providing power in our state must answer to those within our borders. This clears the way for PURA to make real progress on performance-based ratemaking, which I have championed since the aftermath of Tropical Storm Isaias.
“The settlement also provides certainty to Eversource customers about the remedies they will receive as a result of Eversource”™s poor performance in response to Tropical Storm Isaias by disposing of legal claims related to the storm penalty decisions.,” Lamont added.
Attorney General William Tong, who has been particularly critical of the utility”™s Isaias performance, stated that he “will work closely with PURA as this agreement is implemented to ensure every term is honored and that Connecticut families see the safe and reliable service they are owed.
“Although this settlement is concluded, my work is not done,” Tong said. “I will continue to aggressively monitor Eversource”™s performance and will hold them accountable whenever and wherever necessary.”