New Britain Electricity Rates
Contents
- 1 New Britain Electricity Rates
- 2 Understanding Energy Deregulation
- 3 New Britain Utility Companies
- 4 Contact Eversource for Power Outages
- 5 Choosing a Retail Electric Supplier
- 6 Selecting the Correct Energy Plan
- 7 Green Energy Plans
- 8 Long Term vs. Short Term Rate Plans
- 9 What Happens at the end of my Energy Plan?
- 10 View by City
- 11 Clean Energy
- 12 Electricity Rates
New Britain’s electricity rates fall under the Eversource service area, formerly known as Connecticut Light and Power. If you’re new to New Britain, you will be happy to know that residents in the city have the option to choose their electric supplier for a lower supply rate. Before energy deregulation, the utility company controlled both aspects of the delivery charge and the supply charge. Customers were not allowed to shop for another electric supplier and had to go through the utility company. Thanks to energy choice, New Britain residents can now select an electric supplier that meets their individual needs.
New Britain is located less than nine miles southwest of Hartford, Connecticut. The city has a population of just over 70,000 and is known as the “hardware capital of the world” due to its history in manufacturing.
Understanding Energy Deregulation
If you just moved to New Britain, then you may be wondering how energy deregulation works. In regulated markets, the customer has no choice but to go through the local utility company. The local utility company in regulated markets have a monopoly over both the delivery and supply charges. If the customer is not satisfied with their service, there is little they can do.
Thanks to legislation that was introduced in 1998, known as PA 98-28, the generation or supply portion of the electric bill became “unbundled.” The unbundling of the supply portion of the electric bill allows residential and business customers that live in New Britain to shop for a competitive electric supplier for a lower supply rate. The supply rate is the cost of generating the electricity that the customer is estimated to use during the term of the agreement.
The utility company in New Britain is responsible for delivering electricity to the point of service. This portion of the electric bill is known as the delivery charge. If the customer changes electric suppliers, they will still receive the electric bill from the utility company that will incorporate both the delivery and supply charges.
New Britain Utility Companies
Eversource is the utility company in New Britain that is responsible for maintaining the infrastructure to safely deliver the electricity to the point of service. Eversource also acts as the supplier of last resort. This means if a customer decides not to shop around for an electric supplier, Eversource will continue to generate the electricity and charge the customer for the supply cost. If a customer is in a contract with an electric supplier and cancels their contract, they will automatically be transferred back to Eversource.
Contact Eversource for Power Outages
If you experience a power outage or any disruption of service, you can contact Eversource. Eversource is responsible for resolving all power issues in their service area.
- Contact Information: 1-800-286-2000
Choosing a Retail Electric Supplier
The increase in competition has the effect of pushing down energy prices. This is good news for New Britain electricity rates. When shopping for an electric supplier there may be a few questions you want to ask yourself. Not every electric supplier will be right for everyone. Depending on what you need, choosing electric supplier A might make more sense than choosing electric supplier B. Will you be shopping for a fixed rate? Do you want to reduce your carbon footprint and go 100% green? What is your risk tolerance?
Selecting the Correct Energy Plan
The most common energy plans for residential customers are fixed and variable rate plans. Most customers are happy to lock in a long-term fixed-rate and not have to worry about their electric bills every month. Locking in a long-term fixed rate will protect the customer against any spikes in the energy market. However, most fixed-rate plans come with a cancellation fee if the customer breaks the term of the agreement. If you’re happy with the rate, there will be no reason to break the term of the contract. Most energy suppliers will waive the cancellation fee if you move to a new location.
For customers who do not want to be locked into a long-term agreement, a variable rate might be right for you. Most electric suppliers will offer a low introductory variable rate to tempt customers into signing. However, most variable rates for residential accounts are not tied into a commodity meaning they can change at the sole discretion of the supplier. Electric suppliers offering variable-rate plans typically do not charge a cancellation fee, freeing the customer from having to pay a penalty if they switch suppliers.
Commercial customers shopping for competitive rate plans have more options to choose from than residential customers. Index pricing is popular for large industrial size users. An index product will tie the electricity rate into a commodity such as natural gas, plus a fixed-retail adder. In the past few years, index products have outperformed fixed rates, saving companies hundreds of thousands of dollars in electricity costs. This product is exposed to market risk and can easily triple in price if the commodity price spikes. A hybrid product known as block pricing can lock in the rate during peak-hours while allowing the customer to float the market during off-peak hours.
Green Energy Plans
A growing number of states, including Connecticut, are introducing a Renewable Portfolio Standard (RPS). The RPS is a set of regulations requiring electric suppliers to have a set percentage of the electricity sold within the state to come from renewable energy sources. Examples of renewable energy sources are solar, wind, hydropower, and biofuels. These regulations are artificially creating supply in the green energy space, giving customers more options to choose from. Due to the RPS, more electric suppliers are now including green energy plans as part of their services offered to customers.
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Long Term vs. Short Term Rate Plans
Deciding between a long or short-term rate plan can depend on your risk tolerance. 36 and 48 months agreements are becoming more popular as customers can lock in a rate and forget about the market. Long-term plans require little oversight. The most important part of locking in a long-term rate is not forgetting when the energy plan expires. If no action is taken upon the expiration of the agreement, most suppliers will switch the customer to a variable rate. Once this happens you can bet the rate will significantly increase!
If you enjoy keeping up with the energy market, then going with a short-term plan may be right for you. The advantage of locking in a short-term plan is not being stuck paying a higher rate if the market drops. However, just as this is true, the customer can also be stuck paying a much higher rate if the market increases. Short-term plans require more oversight from the customer.
What Happens at the end of my Energy Plan?
Most people mistakenly believe they will be transferred back to the utility company upon the expiration of the agreement. This is not true! If you are not keeping track of the expiration of the agreement, then the supplier will transfer you over to a variable rate. Once this happens it’s common for the rate to double or even triple in a single billing period. The customer has three options at the end of the term. Lock in a new rate, change electric suppliers, or cancel the agreement. If the customer cancels the agreement, then they will automatically be transferred back to the local utility company on the next available meter read.