The price of electricity is going down this summer for National Grid customers, but rates will remain higher than a year ago — with no relief in sight.
"It's a little higher than last summer," said Jake Navarro, a spokesman for National Grid. "This is a market-based phenomenon and over time, because of the natural gas constraints in the region, these power supply prices are going to continue to creep up."
National Grid this week announced a 26 percent rate cut for its electric customers, or about $32 on a typical bill, and a 25 percent to 30 percent cut for natural gas customers, or $9 to $12 on a typical bill, starting May 1. The Department of Public Utilities yesterday approved the new rates.
Eversource, the state's major electricity delivery company, has said it hopes to be able to file for a rate decrease in a few months.
Last fall, the DPU approved a 37 percent rate hike for National Grid electric customers. At the time, National Grid blamed the increase on insufficient natural gas pipeline capacity to fuel power plants. Gov. Charlie Baker has thrown his support behind efforts to add a new natural gas pipeline in the region.
"The region as a whole has become more reliant on natural gas, but without building the highways to get natural gas here," Navarro said. 'We need additional gas capacity in the region and until we get it, it looks like the power supply prices will continue to trend up."
A legislative committee is investigating the increases in electricity prices in Massachusetts, and a DPU spokeswoman said it has started looking into "ways to improve the retail electric competitive supply market."
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