Apartment living in Connecticut offers a unique blend of convenience, comfort, and energy efficiency. Among the many considerations for apartment dwellers, understanding the differences between gas and electric utilities is crucial for optimizing energy usage and managing utility costs. Let’s dive into the world of gas and electric utilities for apartments across the Nutmeg State. *For this post, we will be using Eversource as our example utility provider*
What are utilities in an apartment?
In Connecticut, apartments commonly use both gas and electric utilities, with the specific usage dependent on factors such as the apartment’s location, building infrastructure, and individual preferences of the residents. But what is each utility responsible for?
Gas
Frequently utilized for heating and cooking in Connecticut apartments. Gas furnaces or boilers are common for central heating systems, providing efficient warmth during the cold winters. Gas stoves and ovens are also popular for cooking, offering precise temperature control – preferred by many chefs!
Moreover, gas utilities are often celebrated for their environmental benefits. Natural gas, the primary component of gas utilities, burns cleaner than traditional fossil fuels like coal or oil, aligning with Connecticut’s commitment to sustainable energy solutions and reducing carbon emissions.
Electricity
Electricity powers a variety of appliances in Connecticut apartments, including lighting, refrigerators, dishwashers, laundry machines – and in some complexes, hot water. Electric heating options, such as electric baseboard heaters or heat pumps, may also be used in some apartments, especially where gas utilities are unavailable or less common.
Furthermore, Connecticut’s focus on renewable energy sources has led to increased integration of clean electricity from wind and solar sources into the grid, further enhancing the sustainability of electric utilities.
So, how much are apartment utilities? Let’s break it down.
The shocking truth about your electricity bill
With electricity, one area that often causes confusion is distinguishing between delivery charges and supply costs. We’ll get into the details to shed some light on the distinction between the two. Delivery charges are fixed and remain relatively stable over time, whereas supply costs can fluctuate based on market dynamics. We will also cover transmission costs and public benefits. It’s essential to review your bill regularly to monitor any changes to these charges!
Delivery charges
These charges represent the costs associated with transmitting and distributing electricity from the power plant (Eversource or UI) to your home. These charges cover expenses related to maintaining the power grid. Essentially, delivery charges ensure that electricity reliably reaches your doorstep.
Here are line items you will see on your Eversource bill:
- Fixed monthly charge: This charge includes the cost for poles, wires, meters and personnel needed to provide service to customers.
- Local Delivery: Cost associated with building, maintaining, and repairing the infrastructure that delivers power from the substation.
- Local Delivery System Improvements: This is a part of the rate that helps the utility company cover the costs of upgrading or improving the electric grid to make it more reliable, secure, or up-to-date. It allows the company to recover the money it spent on making the power system better for customers.
- Revenue Decoupling: This refers to the adjustment made by Eversource to ensure that the amount it’s allowed to charge customers for delivering energy matches up with what it actually spent on operating costs during a certain timeframe. Essentially, it’s about making sure the company doesn’t overcharge or undercharge its customers for the services it provides.
- Competitive Transition Assessment (CTA): This is an assessment of the expenses linked to the transition from regulated to deregulated electric utilities. Regulators greenlit these costs before the shift in 1998 and ensured that they could still be covered even in a deregulated market.
Click here for delivery rates!
Supply costs
On the other hand, supply costs pertain to the actual electricity you consume. This portion of your bill reflects the price of generating electricity, which can vary based on factors such as fuel costs, market conditions, and renewable energy sources. Supply costs are determined by your chosen energy supplier or utility company.
For example, Eversource purchases electricity from third-party suppliers that generate electricity at a power plant or generating station. This is a pass-through cost to customers with no profit to Eversource. All customers have the option of choosing Eversource or another energy supplier to obtain energy on their behalf.
The supply rate is based on the current market price of electricity. This price changes twice each year—on January 1 and July 1—as demand for energy increases or decreases. This is how you are charged: Your use in kilowatt hours (kWh) will be tracked. This is a measure of energy use over time. The supply rate is then multiplied by your kWh usage to determine your supply charge. Supply rate x kilowatt hours = supply charge.
Transmission
Transmission is the cost of building, maintaining and operating the regional transmission system that brings electricity from power generators to the local distribution system. These fees are overseen by the Federal Energy Regulatory Commission (FERC), which is a government agency responsible for regulating the movement of electricity across state lines.
Transmission plays a crucial role in the electricity supply chain, enabling the efficient and reliable delivery of electricity from generation sources to end-users!
Public Benefits
This part of the bill, mandated by the state and federal government, covers costs required by the government for things like helping people with financial aid, running energy-saving programs, buying renewable energy, supporting solar power, and offering incentives for electric vehicles. It’s aimed at making it simpler for people to choose clean energy options.
Line items on your Eversource bill:
- Combined Public Benefits Charge – This charge is made up of three charges, which are:
- The Systems Benefits Charge that covers assistance programs.
- The Conservation & Load Management Charge, which covers energy efficiency programs.
- The Renewable Charge, which promotes growth, development and sale of renewable energy.
- FMCC Charge: The Federally Mandated Congestion Charge collects costs for the Millstone energy contract, other distributed resource (generation) programs, some long-term renewable energy contracts, The Low-Emission Renewable Energy Credit and Zero-Emission Renewable Energy Credit Programs, Solar Home Renewable Energy Certificate program and Passive Demand Response Programs. If the FMCC Charge is $0.00, it will not be listed on billing statements.
Click here to see a Sample Electric Bill!
It is clear that your electric bill is pretty comprehensive. The importance of making an effort to regularly review your bill to monitor any pricing changes cannot be understated. Set up your utilities here!
Gas pains – breaking down the gas bill
Factoring in gas utility bills in Connecticut apartments adds a unique dimension to residents’ monthly expenses. Whether cozying up in a studio apartment or enjoying the spaciousness of a multi-bedroom unit, understanding the intricacies of gas utility billing is essential for tenants.
Your gas bill is comprised of two main components: delivery charges and supply charges.
Supply Charge: the supply charge encompasses the cost of natural gas itself. This component is dictated by your supplier, who purchases energy from a pool of producers. In Connecticut, this supplier could be Eversource or an alternative competitive supplier of your choosing. This charge reflects the fluctuating market prices of natural gas and may vary depending on your supplier and contractual agreements.
Delivery Charge: the delivery charge represents the expenses associated with transporting natural gas to your residence and maintaining a dependable delivery system. This charge covers the infrastructure costs of pipelines, maintenance crews, and other logistical elements required to ensure a steady supply of gas to consumers. While supply charges may vary due to market dynamics, delivery charges often remain relatively stable, providing a baseline cost for the reliable provision of gas services.
Click here to see a Sample Gas Bill!
Give yourself an estimate for budgeting with this Heating Calculator!
Remember, supply charges are influenced by market dynamics and your chosen supplier, whereas delivery charges cover the infrastructure and maintenance required for reliable gas delivery. Set up your utilities here!
You’ve got the power!
As we conclude our exploration of gas and electric utilities in Connecticut apartments, it’s evident that a deeper understanding of these vital services is essential for residents seeking to optimize energy usage and manage costs effectively. With Eversource as our example utility provider, we’ve highlighted the nuances between gas and electric utilities, empowering you to make informed decisions about your energy needs!
By recognizing the distinctions between these two energy sources and their associated costs, apartment dwellers can take proactive steps towards a more sustainable and budget-conscious lifestyle. Armed with this knowledge, residents can confidently give themselves a comfortable and efficient living experience in the Nutmeg State! Ready to set up your utilities?