Reminder to Upstate NY Customers: Rate Case Year 2 Began April 1

 

By David Bertola

National Grid is reminding upstate New York customers that new natural gas and electricity delivery prices took effect on April 1, 2019, marking the beginning of the second year (April 1, 2019 to March 31, 2020) of its three-year rate agreement.

As of April 1, 2019:

Typical residential natural gas customers (77 therms/month) will see a total bill increase of approximately 43 cents per month. Typical residential electricity customers (600 kwh/month) will see a total bill increase of approximately $3 per month.

These amounts will fluctuate, based on other portions of the bill. As an example, electricity bills in April 2019 compared to March 2019 because of lower ESRM.

The increases reflect total bills, which consist of two components – energy delivery and energy supply. The energy delivery portion of the bill includes National Grid’s costs to operate and maintain our networks, including emergency services and storm restoration. Delivery prices are regulated by the Public Service Commission and are the part of the bill impacted by the company’s three-year rate agreement.

When it comes to the energy supply portion of the bill, customers have the option to choose from a variety of suppliers. Customers who elect to have National Grid purchase their energy supply will see those costs passed along without markup. The company does not profit from purchasing supply on customers’ behalf.

Total bill impacts in Year One of the three-year rate agreement (April 1, 2018 to March 31, 2019): Typical residential electricity bills increased by about $2 per month. Typical residential natural gas bills increased by $1 per month.

Rate Case Background: In 2018, National Grid reached an agreement on a three-year delivery price plan with Public Service Commission staff, and other parties representing customers and key stakeholders. State aw required us to file a one-year plan, but we sought to develop a multi-year proposal that would mitigate customer bill impacts. The three-year plan provides delivery price assurance for customers and allows National Grid to:

– Improve reliability and resiliency of our natural gas and electricity delivery networks
– Perform system hardening against severe weather
– Continue our successful economic development and energy efficiency programs
– Expand programs that help our most vulnerable customers
– Add more than 250 jobs over three years to support natural gas and electricity operations, grid modernization and customer programs. to date, 95 people have been hired to support these efforts.