Decoupling rate to increase for PSEG LI customers
Beginning in September, PSEG Long Island is raising its decoupling rate fee from $1.69 a month to $4.30 a month for the average customer.
The 154 percent increase in the decoupling rate is due to recent moderate weather and the increased use of green energy initiative, which reduced customer usage.
"What revenue decoupling does, is it separates revenues which are set by the state Department of Public Service from energy sales," explains PSEG LI spokesman Jeffrey Weir. "It allows for us to continuously support and invest in conservation programs and energy-efficiency programs for our customers."
Weir says the fee allows the utility to recoup expenses when revenue falls short of projections. He says customer bills have fallen 24 percent since 2014.
PSEG LI says the decoupling charge is only used to pay its costs and doesn't increase its profits.