News Summary
Gas bills in Massachusetts are projected to rise this winter as National Grid and Eversource propose higher rates. Customers could see significant hikes, with Eversource proposing a 12% increase in delivery charges and a 14-17% rise in gas supply costs. The proposed changes are pending approval from the Massachusetts Department of Public Utilities. Following last winter’s soaring bills, officials are urging for affordable rates amidst increasing gas usage and rising costs associated with utility maintenance and infrastructure investments.
Boston
Gas bills for customers in Massachusetts are set to increase this winter as local utilities National Grid and Eversource propose higher rates. The proposed changes may result in some customers facing double-digit rate increases, alongside overall bill costs expected to remain comparable to last winter’s expenses.
National Grid has filed for an 8-9% reduction in gas delivery rates, which varies by customer service territory. However, the utility has reported a 13% increase in the price of gas itself, offsetting the minor reductions in delivery costs. In real terms, this means that most customers will not experience significant savings compared to last winter.
Eversource, on the other hand, could impose a 12% increase in delivery charges and a 14-17% rise in gas supply costs, leading to an overall bill increase of at least 13%. These proposed rate changes are currently pending approval from the Massachusetts Department of Public Utilities (DPU).
Background Context
The situation follows last winter’s struggles when gas bills soared for many customers, pushing close to $1,000, which provoked public outrage and governmental response. The particularly cold weather increased gas usage during that period, contributing to the heightened bills which incorporated consumption-based fees. This winter is likely to see similar demand, with predictions suggesting an increase in overall consumption again.
Currently, delivery fees encompass not only gas transmission expenses but also funding for various state-mandated programs, including a $4.5 billion budget for the Mass Save energy efficiency initiative. This budget was reduced from $5 billion following customer complaints regarding excessive utility costs.
The magnitude of the Eversource rate increase raises alarms as it substantially exceeds the current inflation rate, stirring concerns regarding the affordability of heating for households. Eversource has pointed out that all components of the bills—including the company’s profit margin of approximately 9% on total monthly gas costs—have contributed to the rising expenses.
Utility Infrastructure Investments
Amidst these changes, Eversource is investing in infrastructure maintenance and upgrades, claiming that these are significant factors in the planned rate increases. The company is also working towards increasing gas supplies through pipeline expansion; however, these new supplies are not expected to be available for several years.
Regulatory and Government Response
Attorney General Andrea Campbell has indicated her commitment to advocating for affordable rates and has urged the DPU to seek long-term relief for consumers facing these rising costs. Governor Maura Healey has also voiced her criticism of the proposed rate hikes and is calling for immediate action to lower energy expenses for consumers.
In light of these developments, a group of state senators has requested a reevaluation of the approved rate changes, challenging the fairness and appropriateness of the proposed increases. It is important to note that the DPU’s authority to review the rate hikes is limited. Their focus mainly includes ensuring the accuracy of the filings and compliance with existing regulations.
The colder winter weather trends experienced in recent years have notably resulted in greater gas consumption, now directly influencing bill increases. Customers are encouraged to utilize available assistance programs to help manage the expected spikes in their gas bills this winter.
Deeper Dive: News & Info About This Topic
- WCVB: Massachusetts Winter Gas Rates Rise
- New Bedford Guide: Massachusetts Gas Bills Soar
- Boston Globe: Eversource Gas Rate Increase
- CBS News: Natural Gas Bills in Massachusetts
- Wikipedia: Natural Gas in the United States
Author: STAFF HERE BOSTON WRITER
BOSTON STAFF WRITER The BOSTON STAFF WRITER represents the experienced team at HEREBoston.com, your go-to source for actionable local news and information in Boston, Suffolk County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Boston Marathon, Head of the Charles Regatta, and Boston Harborfest. Our coverage extends to key organizations like the Greater Boston Chamber of Commerce and Associated Industries of Massachusetts, plus leading businesses in finance, biotech, and insurance that power the local economy such as Fidelity Investments, Biogen, and Liberty Mutual Insurance. As part of the broader HERE network, we provide comprehensive, credible insights into Massachusetts's dynamic landscape.
