Maine Public Utilities Commission
242 State Street
Augusta, Maine 04333-0018
CONTACT: Nicole Clegg, 207-287-8519, Nicole.Clegg@maine.gov
FOR IMMEDIATE RELEASE
January 31, 2007
New Standard Offer Prices to begin in March for
CMP and BHE Medium and Large Commercial and Industrial Customers
Prices to Decrease for Most
– Tuesday, the Maine
Public Utilities Commission (PUC) accepted bids for new standard offer electricity
prices for medium and large commercial and industrial customers of Central
Maine Power Company (CMP) and Bangor Hydro-Electric Company (BHE). The prices, effective March 1, 2007, are for
CMP Medium class customers 8.72 cents/kWh, a 13.1%
decrease, and for CMP Large class customers 9.255 cents/kWh, an 8.8% decrease.
For BHE, Medium class customers prices will decrease
13.4% to 8.827 cents/kWh, and Large class customers prices will increase 5.3%
to 10.32 cents/kWh.
“These lower prices should be good news for businesses
facing large electricity demands,” stated Kurt Adams, Chairman of the PUC. “We are
pleased that prices are competitive and in line with market conditions. For the one group facing a price increase –
the BHE Large class – prices appear to reflect a significant volume risk that
suppliers take on when they serve the class.
The PUC intends to explore ways to reduce this risk prior to the next
CMP and BHE are regulated
transmission and distribution utilities serving more than 580,000 customers in
southern Maine and 114,000 customers in
respectively. Currently, about 60% of the load of medium customers and 10% of
large customers in CMP’s and BHE’s
territory receive standard offer service.
total retail sales to medium and large C&I customers in 2005 were
approximately 5.2 million megawatt hours. BHE’s total retail sales to medium and large C&I
customers in 2005 were approximately 835,000 megawatt hours.
retail electric access rules, the PUC must ensure that standard offer service
is available to all customers in Maine. The selected rates were chosen following a
competitive bid process administered by the PUC, and the names of the suppliers
selected will be withheld for two weeks, allowing time for supply arrangements.
offer service is the only type of default service in Maine and is provided directly by standard
offer providers to customers at retail. The PUC is responsible for insuring
that the Commission solicits suppliers to provide standard offer service
through a competitive bid process. For information on standard offer rates,
visit the PUC’s website at: http://www.maine.gov/mpuc/industries/electricity/standard_offer/standard_offer_rates.html
The Public Utilities Commission is
committed to ensuring that consumers have access to safe and reliable service
for public utilities and that the rates for these utilities are just and
reasonable. PUC programs include Maine Enhanced 911 Service, Dig Safe, and
To arrange an
interview with Chairman Adams, Commissioner Reishus, or Commissioner Vendean
Vafiades please contact Nicole Clegg at 207.287.8519 or by e-mail at email@example.com.