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Electricity Supply Prices Set for Standard Offer Service in Emera Maine – Bangor Hydro District

January 14, 2015

Augusta, Maine — In competitive solicitations concluded today, the Maine Public Utilities Commission (“Commission”) accepted bids and set new prices for standard offer electricity supply for customers of Emera Maine - Bangor Hydro District who receive standard offer supply service. The new prices are effective for a ten-month term beginning March 1, 2015.

For Emera Maine residential and small business customers who receive standard offer supply service, the accepted bids result in a new standard offer price of 6.5 cents/kWh, which is a 14% decrease compared to the current price of 7.58 cents/kWh.

For Emera Maine medium business customers, the new prices differ by month, equating to about 6.66 cents/kWh on average over the term, varying from 5.2 cents/kWh in May 2015 to 9.6 cents/kWh in December. These medium class prices are about 17% lower than prices during the same ten-month period last year. The Commission did not accept any bids for large business customers, and directed Emera Maine to file a proposal for providing standard offer service to this class.

These new prices apply only to standard offer service, which reflects about 60% of the sales in Emera Maine’s Bangor Hydro District service area. The prices do not apply to customers that purchase their own electricity supply in the market.

“The standard offer prices set for Emera Maine reflect the best bids received in our competitive auction process,” according to Commission Chairman Mark Vannoy. “The trends in wholesale prices we have seen during the past month were realized through this bid process and both Emera Maine and CMP retail customers will benefit” said Vannoy. Vannoy noted that it is difficult to say whether these recent trends will continue, given continued strong demand for natural gas in the region and the region’s limited capacity to transport natural gas.

The names of the suppliers selected will be released in two weeks, allowing time for power supply arrangements to be finalized.

Background: Electricity customers in Maine receive standard offer service if they have not purchased supply from another retail supplier or through an aggregator. Currently, standard offer service represents about 45% of the supply used by CMP and Emera Maine – Bangor Hydro District customers. Maine law requires the Commission to ensure that standard offer service for electricity supply is available to all customers in Maine. The Commission arranges for standard offer service through periodic competitive bid processes.

For more information on standard offer service prices: http://www.maine.gov/mpuc/electricity/standardofferrates/index.html

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The Maine Public Utilities Commission regulates electric, telephone, water and gas utilities to ensure that Maine citizens have access to safe and reliable utility service at rates that are just and reasonable for all ratepayers. Commission programs include Maine Enhanced 911 Service, and Dig Safe.


Contact: Harry Lanphear (207) 287-3831