Electricity Price Increases Come to New England
June 22, 2022 | Reading Time: 5 minutes
From June to August 2022, energy costs will be rising. The estimation is that energy price increases will lead to a 11% rise from the average electricity bill homeowners paid in the summer of 2021. With sky high prices at grocery stores and the gas pump, this is another unfortunate side effect of the inflation we have seen over the past few months.
How Much Are Prices Increasing?
According to the U.S. Energy Information Administration, electricity prices in the Northeast regions, including New England, will exceed $100 per megawatt-hour which is a large increase from the $50 per megawatt hour prices in the region last summer. This would make the average residential electricity bill about $165 per month in June, July, and August.
Why Are Prices Increasing?
The recent electricity price increase is due to the reliance of natural gas and the historical rise in the price over the last few months.
In the past natural gas has been replaced with coal-fired energy when natural gas prices have gone up. However, coal power plants are not producing as much, considering coal capacity retirements, constraints in fuel delivery to coal plants, and lower-than-average stocks at coal plants. This is especially true in Southcoast, MA where Brayton Point Power Station the largest coal-burning plant in the state closed in 2017.
How Can I Stop Paying Rising Energy Costs?
At Isaksen Solar we have the answer. With the rising electricity prices we are seeing many homeowners believe they are a prisoner to the times and must continue to pay while hoping for prices to decrease. That is until they have a conversation about solar and they see their options. Through solar homeowners create their own solution by producing their own energy.
Homeowners powering their home with solar are experiencing immediate monthly savings, a lifetime positive return on their investment and may even have their utility company pay them instead of paying their power company more every year for the same service.
Residential solar installations will continue to help New England residents balance the reliance on natural gas, reduce carbon emissions and give residents freedom from the constant price increases.
If you have questions about how solar can save you money and reduce your carbon footprint give us a call, 508-567-0647 or get started on your free quote today!