Connecticut Electric Rates Drop Sharply Amid National Increases

Connecticut's electric rates have taken an unexpected turn. Despite being one of the states with the priciest electric bills for years, Connecticut is now bucking the trend. According to data from the U.S. Energy Information Administration, residential electric bills in Connecticut declined by about 10% between June 2025 and June 2026, while rates across the US rose by around 5%. This means that Connecticut has dropped from having the fifth-highest residential electric rates among states to placing 12th.

The majority of this decrease is attributed to changes in the public benefits charge, which accounts for a portion of electric bills funding various energy programs and agreements. The fixed-rate contracts with carbon-free generators like Millstone Nuclear Power Station have acted as a hedge against volatile natural gas prices. Governor Ned Lamont oversaw these negotiations in 2019, and the timing is fortuitous as he seeks re-election.

However, not everyone agrees on how to interpret this development. Governor Lamont's opponent, Ryan Fazio, has criticized the governor's record of supporting programs like the Regional Greenhouse Gas Initiative and rooftop solar incentives, which are paid for through fees in customers' bills. Fazio argues that many of the savings currently passed along to ratepayers will expire over time.

Experts also warn that Connecticut's electric rates are unlikely to continue their decline, with Eversource filing a request for a double-digit rate hike and costs associated with electricity generation typically rising in the winter due to natural gas shortages. Governor Lamont remains confident in the current roster of Public Utilities Regulatory Authority commissioners, who took over last year.