Starting November 1, 2019, NHEC’s residential members can expect a total bill increase of about 5%, or $5.50 per month. While this is an increase compared to our current summer rates, the 2019-20 winter rates are 83 cents less than last winter’s rates.
This increase is being driven by changes to the Co-op Power Charge (the cost of actual energy used) and the Regional Access Charge (the cost of transmission grid services). These charges are directly passed through to our members – the cost to NHEC is the cost you pay. For most members, the Co-op Power Charge will increase by 10%, while the Regional Access Charge will increase by 13% over the current summer rate.
The increased Co-op Power Charge is primarily due to the continuing pattern of higher energy costs in winter months in the Northeast. This is due to regional natural gas supply constraints. Natural gas is used to generate roughly half of the electricity in New England. Natural gas demand increases sharply during the winter months, when it is used as a heating fuel, which reduces supply and drives up the cost of generating electricity.
The increase in the Regional Access Charge is primarily due to an increase in the costs other companies charge NHEC to deliver energy to our distribution system.
Click here for a complete list of NHEC rates and fees.