Connecticut Electricity Rates
Connecticut electricity rates have risen significantly since they deregulated their energy market in 1998. As of September 2015, Connecticut had the fourth highest average electricity price for residents. In addition, residents make up 1/3 of the total energy consumption. For the Connecticut business electricity customers that also make up close to 1/3 of consumption, Connecticut electricity prices rank high, coming in 38% higher than the national average. Even though Connecticut is the 6th lowest energy-consuming state per capita, they still have some of the higher electricity rates in the nation.
With such high prices for electricity and little control over how much the utilities charge, Connecticut electric customers needed a way to have the ability to save on some aspect of their electric bill. This is where electricity deregulation comes into play.
Connecticut Electricity Deregulation
In May 1998, the Connecticut passed legislation to deregulate their energy market and give their residents and businesses a choice in an electricity provider. This act required the state’s two utilities to separate the generation of electricity from the rest of the business and take steps towards establishing a competitive energy market.
It took a couple years to pass additional legislation and establish a competitive energy market in Connecticut. Today, there are more retail providers than ever for CT residents and businesses to choose from. Even though the cost of electricity has risen significantly since Connecticut deregulated their energy market, many retail providers still offer very competitive rates.
If you are a Connecticut resident or business, make sure you shop your zip code for the best electricity rates. A study done by the Retail Energy Supply Associaton found that Connecticut residents were missing out on millions of dollars in savings by not switching to the lowest retail provider.
Public Utilities in Connecticut
If you live in Connecticut, there are two major utilities that serve the entire state:
Customers that don’t participate in electric choice will still receive their electric supply from their default utility. But since the utility is not able to profit from the sale of electricity, they have practically no reason to compete with retail electricity providers that offer lower rates.
Retail Electricity Providers in Connecticut
Connecticut customers can choose from a wide range of electricity providers and the list continues to grow as new providers enter the market. These providers compete which allows you to save on your electric supply. Go to our Connecticut electricity providers page to see a full list of electricity providers in Connecticut.
It’s important to familiarize with these electricity providers and their offerings. Periodically, these providers may offer incentives to sign-up with them that could include things like a gift card, discount, point system, etc.
How To Switch
To compare all of these Connecticut electricity providers, we’ve created a FREE Compare & Switch Tool that allows you to compare electricity rates and switch your electricity providers in under a minute. Simply go to the right side of the page, type in your zip code, and view a list of the best rates and plans from reliable providers in your area.
When browsing rates and plans, consider the following:
- What is best rate for you?
- Electric rates are expressed as “cents per kWh”. When comparing rates be sure to compare them to the utility’s price-to-compare and what you are currently paying.
- Is the rate variable or fixed?
- Variable rates can fluctuate daily or monthly, and are derived from the market price of electricity. Fixed rates allow customers to lock in a low rate for the contract duration. Fixed rates are recommended for typical electric customers.
- What is the length of the contract?
- Contract terms can vary from variable rate monthly terms to 3- to 36-month fixed rate terms. The recommended contract length for the average electric customer is 12- to 36-months.
Remember, your utility will continue to fix power outages, send your bill, and work with you for any customer service needs. The reliability of service will NOT change since it is the responsibility of either UI or CL&P, which are regulated by Connecticut’s Public Utilities Regulatory Authority (PURA).