Organization educates customers on how to shop and compare electric suppliers
(Hartford, CT) – Following the announcement of double-digit rate increases from Connecticut’s electric utilities, the Retail Energy Advancement League today released a guide to help Connecticut customers shop for competitive electric suppliers and save money (view guide).
In November, Eversource and United Illuminating announced that customers can expect winter rates for basic service electric supply to double beginning January 1, 2023. The rate increases, approved by the Connecticut Public Utilities Regulatory Authority (PURA) are noted in the table below.
|Utility Supplier||Rate Term||Current Supply Rate||Rate Term||New Supply Rate|
|Eversource||7/1/22 – 12/31/22||12.1¢/kWh||1/1/23 – 6/30/23||24.2¢/kWh|
|United Illuminating||7/1/22 – 12/31/22||10.6¢/kWh||1/1/23 – 6/30/23||21.9¢/kWh|
In Connecticut, customers have the ability to shop the competitive retail energy market to compare products and choose a retailer other than their default utility provider for the supply portion of their bill. The competitive retail electric market is regulated and overseen by PURA, which also manages “Energize CT,” an online platform where customers can make comparisons of competitors’ current electric rates, offers, and contract terms, review different sources of electricity and make a selection based on their household’s energy usage, preferences and needs.
According to a Nov. 17 document from the Connecticut Office of Consumer Counsel, “Between January and September of this year, 3rd party supply customers have saved a combined $10,432,771. Additionally, in September, 78% of 3rd party supplier customers in Eversource territory, and 62% of supplier customers in UI territory paid rates lower than the utility standard service rate.”
As of Dec. 6, 2022, there are more than a dozen competitive energy offers on the Energize CT website offering contracts ranging from 10 to 36 months where customers could lock in a rate that will save them up to 30% off their standard service supply rate this winter. Some of these offers also provide a higher percentage of renewable energy than the standard service utility rate.
“Price is not the only reason customers shop but given the historic rate increases Connecticut customers on default service are facing, we wanted to equip them with tools specific to price shopping so they can make informed decisions and safeguard themselves against impending rate shock,” said Chris Ercoli, President and CEO of REAL.
To help customers shop based on price, the Retail Energy Advancement League developed a guide (view here) that explains contract terms, how to compare products and offers helpful shopping tips.
According to the Office of Consumer Counsel, 90% of Eversource and 83% of United Illuminating customers have not shopped for a competitive supplier and remain on basic service. The basic service rate increases for winter will take effect on January 1.
Approximately 200,000 Connecticut customers shopped in the competitive market and chose a retail supplier other than their default utility in 2021. Customers cite cost savings, price predictability, renewable energy choices and special products as some of the reasons they shop.
ABOUT RETAIL ENERGY ADVANCEMENT LEAGUE (REAL): REAL is a national advocacy organization dedicated to the expansion and modernization of American retail electric markets. The organization was founded by a coalition of companies that believe consumers deserve control over their energy decisions. Founding member companies include Calpine, CleanChoice Energy, IGS Energy, NRG Energy, Shell Energy, and Vistra Energy. To learn more, visit: www.retailenergychoice.org.