Maine standard offer electricity supply rates to jump more than 80%

Rising gas and wholesale electricity prices will result in standard offer service rate increases of more than 80% for residential customers in Maine.

The Maine Public Utilities Commission on Nov. 17 accepted bids for standard offer electricity supply rates for residential and business customers of Central Maine Power Co. that are expected to result in an 83% increase in residential customers' supply rates starting Jan. 1, 2022. The new residential standard service offer, which applies to customers who do not choose a competitive electricity supplier, should result in an increase of about $30 for an average residential customer using 550 kWh/month, increasing the monthly bill to about $126 from $96, according to a news release from the PUC.

Standard offer service rates for residential customers of Versant Power can expect to see an increase of 88.6%, according to a separate release, raising monthly bills for a customer using 550 kWh/month to $131, from $101.

"Unfortunately, sharp increases in natural gas prices are resulting in higher electricity supply costs for the upcoming year," PUC Chairman Philip Bartlett II said. "This increase is primarily driven by New England's wholesale electricity market prices which have increased dramatically."

The commission noted natural gas prices have increased 94.80% over the last year and wholesale electricity is up 126.3%.

For CMP medium business customers, prices vary monthly but are projected to average around 11 cents per kWh, with CMP medium-class businesses expected to see an average 82% increase annually in the supply portion of their bill, according to the PUC.

Iberdrola SA is the ultimate parent of Central Maine Power. Versant Power is owned by ENMAX Corp.