Utility Files Incorrect, Higher Default Service Rates

Regulator Concerned Public May Have Switched To Retail Suppliers Based On Erroneous Rates

Considers Requiring EDC To Contact All Recently Switched Customers To Inform Customers Of Lower Default Service Rate

May 28, 2019

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Copyright 2010-19 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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United Illuminating informed the Connecticut PURA on May 24 that its previous submission of default service rates for the period beginning July 1, 2019 were incorrect

UI specifically said that its previously filed Standard Service rates for the six-month period beginning July 1, 2019 were inaccurate and, on average, were approximately 0.6 cents per kWh higher than the correct rates

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In response, PURA said that, "Because the standard service rates filed by UI on May 3, 2019 were higher than the correct rates, the Authority is concerned the public’s knowledge of the incorrect rates during the intervening time may have impacted customers’ decisions to switch to a supplier instead of receiving supply from standard service."

"As a result, the Authority requests by noon, June 6, 2019, UI provide a list of all UI customers switching suppliers and/or switching from standard service to a supplier from May 3, 2019 to June 4, 2019," PURA directed

"Upon review of such information, the Authority may require UI to contact those customers to inform them of the standard service rate error, allow them to switch to standard service, and compensate the customer for any supplier cancellation fee resulting from the switch," PURA said

For residential customers, UI's correct Standard Service rate effective July 1 is 8.3532 cents per kWh, versus the previously filed rate of 8.9752 cents per kWh, and the current January-June rate of 11.2263¢/kWh cents per kWh

UI's corrected Standard Service rates are as follows:

UI Jul-Dec 2019 Standard Service Rates (¢/kWh)
** Rates include Bypassable FMCC of 0¢**

Rate R:       8.3532

Rate RT
  On-Peak:   10.9125
  Off-Peak:   7.4125

Rate GS:      8.4125

Rate GST
  On-Peak:   10.4260
  Off-Peak:   7.4260

Rate LPT
  On-Peak:   10.5997
  Off-Peak    7.5997

Rate M:       8.7093

Rate U:       8.7093

UI's previously filed Last Resort Service rates for the period July through September 2019 were correct.

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