How would electric rates be lowered?
Since deregulation of the state’s utility industry about 10 years ago, the state’s electric rates have jumped to the second-highest in the country, behind Hawaii. State Rep. Vickie Nardello (D-Prospect), one of the bill’s co-sponsors, explains that the bill had a few ways of tackling the high rates. “Our rates are 10 to 15 percent higher than other New England states,” she says. “Shouldn’t we be asking why? What we asked DPUC is to find out why and report back to us on how to reduce those rates.” Another way the bill proposed to lower rates is by changing how the state buys power, mainly by loosening the current, strict rules. For example, the utilities can only buy power in one, two or three-year contracts from companies that provide all the needed services, instead of buying it piecemeal. Only a few companies provide all those services so there’s less competition. “By a conservative estimate, we might get a five percent discount just by changing the way we purchase power,” Nardello s
