NSTAR Commercial and Industrial Customers to See Price Cut
Boston, February 9, 2010 - NSTAR is lowering supply rates for its largest customers in response to lower prices on the wholesale electricity market. Large commercial and industrial customers in the Boston area who purchase their electricity through NSTAR’s Basic Service option will see their second quarter power prices drop by more than 13 percent. Over a thousand customers in NSTAR’s service territory will benefit from these price cuts.
“A drop in electricity prices for local businesses is always welcome news,” said Tom May, NSTAR Chairman, President and CEO. “The companies that will benefit from this price cut are the leading drivers of our economy so this is a much needed break in these uncertain times.”
The decreases can be largely attributed to falling prices for natural gas, the primary fuel used to generate electricity in our region. Large commercial and industrial customers in the Boston area that are using more than 25,000 kilowatt-hours of electricity a month will see the price of power drop from 9.377 cents to 8.114 cents per kilowatt-hour. If approved by the Massachusetts Department of Public Utilities, the new rates will go into effect on April 1, 2010.
Under Massachusetts law, NSTAR buys electricity through a competitive bidding process on behalf of customers who receive their supply through the company’s Basic Service offering. As a regulated distribution company, NSTAR purchases electricity from suppliers and passes that power cost directly to customers, with no profit to NSTAR. Customers who opt to purchase electricity directly from suppliers negotiate on their own behalf. By law, basic service prices for large commercial and industrial customers change every three months. The next scheduled change for residential and small commercial customers is July 1st.
NSTAR is the largest Massachusetts-based, investor-owned electric and gas utility. The company transmits and delivers electricity and natural gas to 1.4 million customers in Eastern and Central Massachusetts, including more than one million electric customers in 81 communities and 300,000 gas customers in 51 communities. For more information, visit www.nstar.com.
For More Information Contact
Caroline Allen
NSTAR
617-424-2460
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