By Charles Ferraro
State Rep., R-117
State Rep. Charles Ferraro
A wave of inflation and rising utility costs has stricken many residents in 2021. Unfortunately, these increases come as families, businesses and all residents are attempting to rebound from the negative effects of the COVID pandemic. Our local economies have suffered greatly from supply shortages, and now many of the costs of increased demand are being levied onto consumers. Paying for utilities is not a luxury, and with the winter months approaching, an increase in costs for gas, electricity and oil are on the rise.
Both of Connecticut’s main electric companies – Eversource and United Illuminating – are increasing standard service rates effective Jan. 1. This rate generally increases in July of a given year from the rate in the previous January. But the year-to-year increase in electricity prices has residents, especially our seniors, concerned for their financial future.
What will the increases look like? For Eversource customers, there will be a 37 percent increase in cost from the effective rate from January-July 2021. This increase will be reflected on the “supply” section of the electric bill, according to the state’s Office of Consumer Counsel. For UI customers, there will be a 14 percent increase in cost from the effective rate of the same timeframe. This will be reflected on the “generation service charge” section of the bill.
Connecticut residents will be affected by these price increases in numerous ways, but there is no doubt that it will impact certain members of our communities more than others. Many seniors rely on fixed incomes in retirement that do not adjust for inflation, increases in utility rates or other factors.
Energy costs have been higher in the past; in 2015 they surpassed the expected increased rates of 2022. While the cost of utilities is not unprecedented, the rate at which they have increased over the past year is alarming and will send a shock to residents and families who are worried they cannot bear another increase on their bills.
Certain increases in costs can be attributed to natural changes in any service’s value over time. The hike in utilities in particular, though, shows a clear causation of mismanagement from leaders in Hartford and Washington. Many of the “green” initiatives and repressive taxes proposed by our state and federal governments are especially damaging to working families and seniors because of their impact on the affordability of necessities like electricity and fuel for their cars.
Hardworking families in my district are looking for relief in their paychecks, at the gas pump, and on their bills. Years of “green” proposals and legislation have left many residents and communities experimenting with alternative energy sources like solar panels, wind farms and electric vehicles. The reality is that none of these has translated to financial relief for my constituents. As a ranking member of the Energy and Technology Committee, I will always continue to advocate for responsible energy policy that prioritizes affordable utility costs for residents with an emphasis on protecting our environment. I do not believe that one must come at the cost of the other.
If you or someone you know is facing utility insecurity, please share this information and reach out for assistance. Please continue to reach me at my legislative office with your questions, concerns and input on legislation and state issues at Charle.Ferraro@housegop.ct.gov or by phone at 800-842-1423.