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Eversource Proposes 13 Percent Increase in Gas Rates This Winter

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Last winter, Eversource customers saw a historically high price increase in their gas bill. This year is shaping up to be even more expensive.

Eversource gas customers in Cambridge can expect their bills to increase by 13 percent this year, according to a company filing with the Massachusetts Department of Public Utilities. Though the magnitude of the change is smaller than last year, this year’s rates still represent an increase from Nov. 1, 2024 rates.

The DPU has yet to approve the proposed change by the Nov. 1 deadline.

Eversource increased gas rates by 23 percent last year, a decision that was fiercely criticized by residents and state representatives. The higher energy costs were driven by an abnormally cold winter and increased contributions by energy providers to the state-mandated MassSave program, which incentivizes residents to switch from gas to electric heating.

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The DPU responded by ordering Eversource and five other gas companies to cut gas rates by 5 percent, and later reducing the budget for the MassSave energy efficiency program by $500 million to ease the burden on ratepayers.

The bulk of this year’s proposed fee hike is driven by an 11 percent increase in infrastructure and maintenance fees rather than by contributions to the energy efficiency program. This contributes to the 13 percent overall increase for an average NSTAR gas customer using 126 therms a month.

“We work diligently to keep the maintenance and infrastructure costs we can control as low as possible, but the cost of this work is not optional – because heating our homes during a New England winter isn’t a choice,” Kevin Kelley, the Eversource President of Gas Distribution, said, according to a press release.

Eversource is also introducing a new bill format for customers. Charges were previously grouped into “supply” — the cost of natural gas — and various other “delivery” charges. This year, delivery charges will be displayed as “maintenance and infrastructure investment” and “public benefits” distinctly in an effort to increase transparency.

“A vast majority of households should see the delivery portion of their gas bills go down this winter compared to last year, even if we experience another unusually cold winter,” wrote a spokesperson for the DPU in a statement to The Crimson, describing the change as providing “much-needed relief” for residents.

Residential electric customers with heat pumps are expected to benefit from new, lower seasonal rates, according to the DPU.

Despite these efforts, state representatives are still concerned about energy affordability as winter approaches.

“I am concerned that families who are already struggling to afford their heating bills will be pushed closer to the brink, and, with continuing federal funding cuts, gas assistance programs will be stretched even further than they already are,” State Rep. Marjorie C. Decker wrote in a statement.

“The costs of infrastructure upgrades, whether for renewable energy or not, should not fall on residents and businesses,” Decker added.

Other state representatives, including Mark D. Sylvia from Bristol, also submitted and signed letters to DPU Chair and Commissioner James M. Van Nostrand, urging the DPU to reject or significantly scale back the rate hikes.

Massachusetts Governor Maura T. Healey ’92 also urged the DPU to scrutinise the new proposals from Eversource and National Grid in a statement to NewsCenter 5.

Earlier this year in March, Healey unveiled plans for a new energy affordability agenda that aims to save $5.8 billion for electric and gas customers over the next five years. The agenda includes finding “alternative ways to finance new electric grid infrastructure and reduce the impact on customer bills.” At present, energy efficiency programs like MassSave are largely funded through surcharges on customer’s bills.

Kelley said that while Eversource hopes for a “milder season,” the company is focused on increasing dependability and transparency with customers.

“We’re laser-focused on efficiently managing our maintenance and infrastructure costs while maintaining reliability, providing transparent information to customers, and connecting them with energy efficiency and financial assistance programs,” he said.

—Staff writer Stephanie Dragoi can be reached at stephanie.dragoi@thecrimson.com.

—Staff writer Thamini Vijeyasingam can be reached at thamini.vijeyasingam@thecrimson.com. Follow her on X @vijeyasingam.

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