December 13, 2018

Regulator trims Eversource gas-rate request

Photos | Contributed
Photos | Contributed
An Eversource gas crew working in Griswold.

The state's utilities overseer has given final approval to a three-year, $30.2 million rate increase for Eversource Energy's gas customers.

Eversource's gas utility, which has approximately 232,000 customers in Connecticut, had originally asked the Public Utilities Regulatory Authority (PURA) for a total rate increase of $86 million, with $49 million of it kicking in during the first year.

Several months later, in September, Eversource reached a settlement agreement with the Office of Consumer Counsel and PURA's prosecutorial unit that called for a smaller increase -- including a $1.4 million increase in the first year (which begins Jan. 1, 2019), $15.8 million in the second year and $13 million in the third year.

PURA's final decision on Wednesday approved that settlement agreement. The deal allows the utility company a 9.3 percent return on equity in 2019 through 2021, which PURA said is slightly below the 2018 industry average of 9.55 percent.

It also allows for the replacement of leak-prone gas mains and credits customers with 100 percent of the tax savings the company received under the Federal Tax Cuts and Jobs Act of 2017, PURA said.

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