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Eversource Proposes Significant Gas Rate Increases in Massachusetts

Winter landscape with gas meter in Massachusetts

News Summary

Eversource has proposed gas rate increases for Massachusetts customers, with hikes up to 17% for some customers. Governor Maura Healey opposes the increases and is urging for a thorough review by the Department of Public Utilities. The rate hikes are attributed to rising natural gas costs and infrastructure maintenance. Eversource will also revamp its billing structure to improve transparency. As winter approaches, many residents struggle with high energy costs, with calls for legislative measures to assist low-income customers.

Boston, Massachusetts – Eversource has proposed significant rate increases for gas customers in Massachusetts, with potential hikes reaching up to 17% for EGMA customers, which could translate to an additional $49 per month on their bills. Customers of NSTAR may face a 13% increase, resulting in around $41 more each month. The proposed changes are attributed to rising natural gas costs, infrastructure maintenance expenses, and customer assistance programs.

Massachusetts Governor Maura Healey has expressed strong opposition to the proposed rate increases, labeling them as “outrageous” and emphasizing that many residents struggle to afford such hikes. Healey is advocating for the Department of Public Utilities (DPU) to carefully examine the proposed increases, with a broader goal of lowering energy bills through pending legislation aimed at saving ratepayers approximately $10 billion over the next decade.

Starting November 1, Eversource will implement a new structure for bills, dividing them into three distinct categories: Supply, maintenance and infrastructure investment, and public benefits. Eversource spokesman William Hinkle noted customers might see a slight rise in the cost of gas compared to last winter, with an expectation of larger increases in distribution system investments and ongoing maintenance work.

Eversource currently serves about 640,000 gas customers in Massachusetts. The increase comes after a previous winter that saw cold conditions leading to an average gas usage of 143 therms, significantly higher than the typical winter average of 126 therms. In response to high energy costs, earlier this year, the DPU mandated a 5% reduction in bills across various energy companies, including Eversource.

Health and safety are on Eversource’s agenda, as maintaining heating during the winter months is deemed essential. Kevin Kelley, Eversource’s President of Gas Distribution, pointed out that the costs associated with infrastructure improvements are essential for ensuring service reliability. In addition to these hikes from Eversource, National Grid also announced rate increases: a 3.8% rise for Boston Gas customers and a 3.7% rise for customers in the former Colonial Gas service area.

Earlier in the year, both Eversource and National Grid increased their electricity rates, with Eversource rising by 4.8% and National Grid by about 5.4%. The proposed gas rate hikes will require approval from the DPU before they can be implemented. Governor Healey’s legislative efforts include a $50 credit for residential electricity bills and expanded discounts for low-income customers, part of her energy affordability agenda.

Massachusetts residents are currently faced with some of the highest electricity rates in the nation, ranking just behind California and Hawaii. Healey’s measures come in response to previous high gas bills that led to widespread customer outrage and bipartisan condemnations from state legislators. Eversource plans to work collaboratively with the Healey administration and regulators to tackle high energy costs while striving to maintain transparency in billing through an updated structure that will provide clearer insights into costs associated with transmission, infrastructure repair, and state-mandated fees.

As Massachusetts enters the colder season, customers are encouraged to utilize payment support programs to help manage what may become increasingly burdensome energy costs. With various factors contributing to rising utility rates, the situation remains fluid as customers wait for DPU’s verdict on the proposed increases.

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STAFF HERE BOSTON WRITER
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.

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