NEW BRITAIN, CT – Consumer Counsel Coleman issued the following statement following PURA’s Final Decisions in the reconsidered rate cases for Connecticut Natural Gas Corporation (CNG) and Southern Connecticut Gas Company (SCG) which result in decreases to previously authorized revenue. CNG originally requested a $19.7 million increase to its previously approved $442 million revenue requirement, while SCG originally requested a $43.2 million increase to its previously approved $436 million revenue requirement. PURA’s decision instead issued decreases of $26,368,456 and $10,855,705 for CNG and SCG respectively. The companies’ original requested increases would have resulted in an approximate monthly increase of $6.60 for the average CNG residential customer and $13.30 for the average SCG residential customer. As a result of the prior decision effective December 1, 2024, the average residential customer of CNG and SCG experienced monthly bill decreases, and will continue to experience a cumulative decrease of $8.83 and $3.34 respectively as a result of today’s decision.
“After nearly three years of regulatory procedure, appeals and reconsideration on remand, PURA has once again appropriately determined that both Avangrid’s gas subsidiaries failed to substantiate the proposed rate increases the companies sought to recover from customers. OCC appreciates the Authority’s thorough review of the evidence and fair application of the law in this remand proceeding. The outcome in the final decision aligns with my team’s goals and focus in these cases: to protect customers from excessive rates while still allowing CNG and SCG the resources necessary to continued delivery of safe, reliable and quality natural gas service,” said Consumer Counsel Claire Coleman.
The decision concludes a lengthy regulatory and legal process that began in 2023, where documented reporting of CNG’s overearning, prompted the Office of Consumer Counsel (OCC), the Office of the Attorney General (AGO) and PURA’s Office of Education Outreach and Enforcement (EOE) to jointly petition the Authority to conduct a full review of CNG’s rates. After PURA directed CNG and SCG to file rate amendment applications, CNG and SCG sought increases over currently authorized revenues of approximately $19.7 million and $43.2 million respectively.
After a lengthy proceeding, which included extensive discovery, evidentiary hearings and public participation, PURA issued Final Decisions in Docket 23-11-02 rejecting the requested increases, and instead, reducing the existing authorized revenue requirements by $24.6 million and $10.72 million for CNG and SCG respectively. In November 2024, the companies appealed those decisions to Superior Court where the matters were then remanded back to PURA for additional proceedings.
On remand, PURA reconsidered the companies’ original applications in Docket No. 25-11-13 and Docket No. 25-11-14, where today’s final decisions were rendered. OCC is continuing to review both Final Decisions and will continue to evaluate the companies’ compliance filings on behalf of the customers in CNG’s and SCG’s service territory.
For more information, today’s decisions can be found here and here. For more information on the OCC’s positions throughout the legal and regulatory process, our original brief can be found here and positions on remand can be found here.
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OCC Contact: Brooke Parker
brooke.parker@ct.gov | 203-885-4509
About the Office: The Office of Consumer Counsel (OCC) is an independent state agency that represents the interests of consumers of Connecticut’s electric, natural gas, telecommunications, and private water companies before PURA, federal regulatory agencies, the legislature and courts. OCC’s team of attorneys, accountants, financial and policy analysts appear before PURA to argue for the most reasonable rates while expecting the best utility service possible for all customers.