Governor Applauds MPUC for Efforts to Reduce Electricity Rates

December 14, 2011

For Immediate Release: Wednesday, December 14, 2011
Contact: Adrienne Bennett (207) 287-2531

Savings will total nearly $50 million next year

AUGUSTA – Governor Paul LePage commended the Maine Public Utilities Commission (MPUC) Wednesday for its approval of the standard offer price reductions that will result in lower electricity prices for residential and small commercial customers.

“It’s very encouraging to see that hundreds of thousands of Mainers will be experiencing a significant decrease in their electric bills starting on March 1,” said Governor LePage.

On Wednesday, the Maine Public Utilities Commission accepted bids from electricity suppliers and announced new standard offer service prices for residential and small commercial customers of Central Maine Power (CMP) and Bangor Hydro Electric (BHE) Companies. The new prices, which are effective March 1, 2012, are 7.4 and 7.1 cents/kWh for CMP and BHE customers, respectively. The prices reflect reductions in the cost of standard offer service of 12.4% for CMP customers and 13.5% for BHE customers. On a total electricity bill basis, customers will realize reductions in the range of 6.2% to 6.5%.

While the one cent per kilowatt hour drop in price may seem minimal, the yearly savings is significant. According to Commission Chairman Tom Welch, it will lower electricity costs in Maine by about $50 million next year. It’s estimated that this change in price will save the average Maine household at least $65 per year.

With the legislative session approaching, Governor LePage is focused on lowering the price of electricity which will not only save Maine ratepayers millions of dollars per year but will also improve the competitive position to foster economic development and job growth in our state.

“We cannot expect to attract good paying jobs if companies can’t afford to do business in Maine. Addressing our high energy rates with common sense reform will allow us to make Maine more competitive with other states and put us in a better position in the global market as well,” Governor LePage said.