HARTFORD, CT — A bipartisan group of Connecticut lawmakers introduced a new bill Wednesday that aims to cut electricity bills by removing the public benefits charge and shifting electric supply procurement away from utilities like Eversource and United Illuminating.
The legislation, unveiled ahead of a public hearing at the Legislative Office Building, would eliminate the public benefits charge from residential electric bills, with Sen. John Fonfara (D-Hartford) estimating a 20% savings for ratepayers. Fonfara called the bill “a sign that relief is coming.”
The bill proposes the creation of a new quasi-public agency, the Connecticut Electric Procurement Authority (CEPA), which would assume responsibility for purchasing electricity for most customers.
Currently, Eversource and UI handle procurement three times per year as mandated by state law.
CEPA would be able to purchase electricity year-round, allowing for more favorable market timing and potentially reducing supply costs.
CEPA would serve customers who buy their energy from Eversource or UI directly, not from third-party suppliers. The utilities would continue to handle power delivery.
Fonfara, co-chair of the Finance, Revenue and Bonding Committee, said the public benefits charge—used to fund various state-run energy programs—would be covered through bonding over a three-year period. Lawmakers could then reevaluate which programs to retain and how to finance them.
Senate Democrats and House Republicans showed support for the plan, but it drew skepticism from members of the Energy and Technology Committee.
Sen. Norm Needleman (D-Essex), co-chair of the committee, cautioned against bonding for ongoing programs like low-income energy assistance. Sen. Ryan Fazio (R-Greenwich) questioned the ability of CEPA to outperform the energy market.
Supporters pointed to the Connecticut Municipal Electric Energy Cooperative, which currently serves 70,000 customers in six municipalities, as a working model for CEPA.
Business leaders, including the Connecticut Business and Industry Association, also backed the proposal.
CBIA Vice President of Public Policy Chris Davis noted that the plan would remain within Connecticut’s existing bond cap and help non-participating businesses reduce energy costs.
Eversource voiced support during the hearing, stating it was “thrilled to see a bipartisan initiative take shape” and expressed willingness to advise the state on cost-effective electricity delivery.
The bill’s next steps remain under legislative review, with continued debate expected from both the Finance and Energy committees.
