Here is the complete breakdown of what the PUC approved, how much customers will save, and what comes next.

What Did RIPUC Approve?

The PUC voted to approve the revised proposal under Docket No. 25-28-EL, which was created to reduce winter electricity price volatility for Rhode Island households. The approved plan includes two key components:

1. Rate Reduction

• A $0.016 per kilowatt-hour (kWh) rate reduction

• Equivalent to approximately $8.40 per month in savings for a typical home using 500 kWh per month

2. Fixed Monthly Credits

• A $23.54 bill credit applied to every residential account

• Issued in January, February, and March 2026

How We Got Here

Rhode Island Energy withdrew its earlier proposal—which had included miscellaneous bill credits for their customers for both 2026 and 2027—on November 14, 2025.
The revised plan (featuring the fixed $23.54 monthly credits and the $0.016/kWh rate reduction) was reviewed and approved during the November 24, 2025 RIPUC Open Meeting.

How Much Will Rhode Islanders Save with Winter Credit Plan?

The typical Rhode Island household using 500 kWh per month should expect:

• $23.54 monthly credit

• + $8.40 monthly savings from the rate reduction

• = ~$32 in total monthly relief in January, February, and March 2026

This totals approximately $96 in savings over the three-month relief period.

Why Did the Winter Credit Plan Start?

This docket originated after Governor Dan McKee urged the PUC and Rhode Island Energy to explore immediate strategies to protect residents from severe winter bill spikes.

Commission Chairman Ronald Gerwatowski commended Rhode Island Energy’s cooperation throughout the process. He stated that the relief package was crafted to align with Governor McKee’s directive for providing Rhode Islander’s with rate relief this winter.

What Happens Next for RI Energy Customers

Beginning January 2026, all residential RI Energy customers will automatically receive:

• A $23.54 credit on their monthly bill

• A rate reduction reflected in their Energy Supply charges

No action is required by customers; the credits appear automatically on monthly statements.

Winter Credit Is Welcome—but the Bigger Problem Remains

For many of Rhode Island Energy’s monopoly-served customers, a $32 monthly credit is small compared to their actual bills. Many households have reported a substantial increase in electric bills over the past few years, largely due to rising Delivery and Distribution charges—rates regulated separately from supply charges.

This frustration has fueled the growth of the Facebook group Citizens Against RI Energy, where residents share bills, concerns, and organizing efforts.

The Looming RI Energy Base Distribution Rate Case

Chairman Gerwatowski warned today that customers should expect a “sizeable” increase in electric and gas delivery rates starting around September 2026.

Why?

Rhode Island Energy’s previous rate-freeze commitment has expired, giving the company the right to file a Base Distribution Rate Case.

If approved, this would likely:

• Increase how much money RI Energy collects from customers

• Raise delivery charges significantly

• Add long-term cost pressure across all electric bills

What This Means for Rhode Island Households

If your home is 100% grid-powered:

Expect your electric bills to continue rising, potentially at the same—or greater—pace than in recent years depending on the impact of the Base Distribution Rate Case.

If your home has solar:

Households with a properly sized and well-functioning solar PV system are significantly more insulated from future rate hikes.

Solar owners typically benefit from:

• Stable long-term energy costs

• Net metering credits that offset bills

• Lower exposure to delivery rate volatility (though not fully eliminated)

• The option to add battery storage for outage protection

Our Best Advice: Reduce Your Dependence on the Grid

Rhode Island’s electric grid is aging, expensive to maintain, and increasingly stressed by rising energy demand.

Future rate increases will be driven by:

• Infrastructure upgrades

• Higher operating and fuel costs

• State policy mandates

• Limited competition among electricity distributors

• Increased electrification across homes and transportation

The more energy you generate independently, the less vulnerable you become.

Is Going Solar a Good Idea for Rhode Island Homes?

Not every home is suitable for solar—but every homeowner should at least check their eligibility. The decision should not be taken lightly. Going solar is s a high risk, high reward investment so you must be vigilant.

Do it the right way:

• Get at least three quotes

• Read your contract thoroughly

• Choose a reputable, fully insured installer

• Confirm product warranties and workmanship warranties

• Avoid aggressive, high-pressure sales tactics

• Ensure the system is sized correctly based on your actual energy usage

When solar goes right:

• Many Rhode Island homeowners report $0 electric bills

• You generate your own power and become an energy asset to the grid

• You offset demand and take stress off the grid

• You build up net-metering credits during high production months

• You can use those credits in winter to reduce bills

• Add batteries and your home can operate during grid outages