New, lower electricity rates starting for many customers

PROVIDENCE, R.I. (AP) - Many residential and commercial customers in Rhode Island will see new, lower electricity rates starting Thursday.

Starting April 1 and extending to Sept. 30, the default rate that most customers pay will be reduced, the Providence Journal reported.

The residential rate will drop from 9.6 cents per kilowatt hour to 7.2 cents, and the commercial rate will be reduced from 8.2 cents to 5.7 cents, the newspaper reported.

The default rate represents the cost of the energy, but bills also include other surcharges that make up about half the amount customers pay. Surcharges include things like transmission and distribution. Some of the surcharges have also been reduced, the newspaper reported.

The Rhode Island Public Utilities Commission has extended a moratorium on utility shut-offs until June 25 to help customers affected by the coronavirus pandemic, the newspaper reported.

Electricity prices typically drop in the spring, but this year’s prices are some of the lowest in years. The last time rates were lower was in 2017, and before that in 2013, the newspaper reported.