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PUC Mitigates 21¢ Default Service Rate
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The New Hampshire PUC has mitigated the 21¢ per kWh small customer electric default service rate which had been calculated at Granite State Electric (Liberty Utilities) due to a reconciliation factor of about 7 cents per kWh
As first reported by EnergyChoiceMatters.com, GSE had filed to set the small customer group default service rate (residential and small commercial), to be fixed for the 6-month period starting August 1, 2026, at $0.21128 per kWh, which is 53% higher than the current rate of $0.13735
The PUC ordered that the small customer default service rate at GSE shall be 15.835 cents per kWh starting August 1, 2026
The PUC arrived at this rate by establishing a "provisional" Energy Service Adjustment Factor (ESAF, or reconciliation) charge of 1.157 cents per kWh for the small customer group, which is the current level of the ESAF
The PUC said, "The Commission is concerned with the potential for serious rate shock associated with approval of the Company’s proposed ESAF rate components, especially as it would fall on a small, and shrinking, number of Liberty Default Service customers in a few New Hampshire communities," as many towns have created opt-out CCAs
The PUC further said, "Furthermore, we concur with the DOE that uncertainties exist with the calculation and application of the net-metering credits to the ESAF by the Company at this time. The application of 'foregone revenues' associated with net metering by the Company to Default Service accounting, given that they appear to be unquantified by the Company, and the DOE argues there is no authority for their collection, is also of serious concern."
The PUC also provisionally maintained the current level of the ESAF for the large customer group, keeping the charge at 2.123 cents per kWh for the Large Customer Group. The resulting large customer SOS rates from this change were not included in the PUC's order
The PUC ruled that ongoing reconciliation treatment (of a 12-month reconciliation cycle, with the outstanding balances being 50 percent deferred, with the deferred amounts to not be subject to carrying charges) shall continue to be applied to GSE's default service accounting
"The Commission will be making further inquiries regarding these issues in the near future," the PUC said
"We also look forward to further consideration of the issues raised by the parties in this proceeding, and issues that the Commission may identify sua sponte, in the forthcoming further phase to be initiated in July 2026," the PUC said
The PUC approved the default service wholesale contracts resulting from a competitive procurement at GSE
DE 26-023
Unitil
The PUC also approved updated default service rates at Unitil on a "nisi" basis, meaning the rates will become effective unless an objection is filed
For residential customers, Unitil's fixed default service rate is to be $0.14348 per kWh for the 6-month period starting August 1, 2026, up about 20% from the current rate of $0.12061 per kWh
For the G2 and OL class, Unitil's fixed default service rate is to be $0.13037 per kWh for the 6-month period starting August 1, 2026, up about 16% from the current rate of $0.11253 per kWh
As previously reported, the Unitil rates do reflect certain changes in the ISO-NE proxy price used to set the rate, and the length of the reconciliation mechanism, to address affordability concerns, but the impact on the Unitil rates from such changes is nowhere near close to the mitigation at GSE (see more background here)
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June 19, 2026
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Copyright 2026 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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