National Grid To Ask For Electric Rate Increase

EAST GREENWICH, RI—National Grid has asked the Public Utilities Commission for an electricity rate increase. According to Ted Kresse, company spokesman, the increase is 53 percent but will impact only one part of the customers' bills. Overall, the new rate, if approved, will mean an increase of 16 to 19 percent on the price National Grid pays energy suppliers for power.

By law, Kresse said, National Grid does not make money on rate it pays the supplier. The new prices were actually set three years ago at the 2014 commodities auction. The futures prices rose to reflect a loss of capacity coming with the closing of Brayton Point and two nuclear power plants. People can shop around and buy the electricity from another supplier, he said. National Grid will still deliver the energy.

Kresse also said the summer rates in effect now reflect a five-year low, and typically, rates do rise in the winter.

But the exact increase customers will see on their bills will vary depending on how much electricity people use. The PUC hearing on the rate increase is set for Aug. 22.

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