National Grid seeks 20% rate increase over next 3 years

National Grid is seeking to charge customers 20 percent more in a rate increase over the next three years, raising the average bill about $25 a month.

“We recognize that this proposal comes at a time when affordability is top-of-mind for our customers,” said Phil DeCicco, National Grid’s New York General Counsel. “We worked hard to strike a balance that prioritizes energy affordability and ensures grid resiliency — especially in light of the record number of damaging storms we’ve seen in upstate New York — while deferring other programs and initiatives that would add to our customers’ bills.”

National Grid said residential electricity customers using an average of 625 kilowatt-hours per month would see an estimated total monthly bill increase of $14.32 in the first year, $6.44 in the second year and $4.34 in year three.

Residential natural gas customers using an average of 78 therms per month would see an estimated total monthly bill increase of $7.66 in the first year, $8.08 in the second year and $9.18 in year three, National Grid said.

The rate increase plan goes to the Public Service Commission. National Grid would to implement the higher rates beginning in September.

 National Grid said highlights of the three-year proposal include:

• Critical investments to ensure the reliability and safe operation of the company’s energy delivery system that serves 2.3 million Upstate New York residential and business customers, including capital investments of $1.4 billion in the electricity delivery system and $351 million in the natural gas system in the first year.
• Enhanced system resiliency and reliability measures to manage and reduce the impact of frequent severe weather and enable continued strong storm response.
• More than $290 million in bill discounts for vulnerable Upstate New Yorkers, including approximately $72 million in the first year.
• Infrastructure investments to support economic development, connect clean energy, and enhance security.

“The joint proposal assures National Grid’s ability to maintain the overall reliability, resiliency, and cost-effectiveness of the energy systems that serve more than two million Upstate New York customers. It also offers new and targeted programs to better meet the needs of our customers and communities,” Decicco said. “We look forward to receiving additional feedback from our stakeholders during the upcoming public review process.”