Nstar POR Discount Rates To Decrease, WMECO POR Discount Rates To Increase

Nstar and Western Massachusetts Electric Co. have filed with the Massachusetts DPU proposed updates to their purchase of receivables discount rates (standard complete billing percentages) to be effective May 1, 2016.

The Nstar residential POR discount is to decrease from 1.27% to 0.99%.

The rates remain subject to DPU approval.

The proposed POR discounts are:

Nstar - Proposed
              Residential  Commercial  Industrial
Uncollectible    1.23%        0.17%       0.06%
Admin Cost       0.01%        0.01%       0.01%
Reconciliation  -0.25%       -0.05%      -0.10%
Total            0.99%        0.13%      -0.03%

WMECO - Proposed
              Residential  Commercial  Industrial  Other
Uncollectible    2.23%        0.20%       0.09%    0.00%
Admin Cost       0.00%        0.00%       0.00%    0.00%
Reconciliation   0.36%        0.05%       0.06%   -0.03%
Total            2.59%        0.25%       0.15%   -0.03%

This compares to the current POR discount rates of:

Nstar - Current
              Residential  Commercial  Industrial
Uncollectible    1.32%        0.21%       0.14%
Admin Cost       0.12%        0.12%       0.12%
Reconciliation  -0.17%       -0.01%      -0.01%
Total            1.27%        0.32%       0.25%

WMECO - Current
              Residential  Commercial  Industrial  Other
Uncollectible    2.02%        0.14%       0.03%    0.05%
Admin Cost       0.00%        0.00%       0.00%    0.00%
Reconciliation   0.21%        0.01%       0.01%    0.02%
Total            2.23%        0.16%       0.04%    0.07%