Threat of shutdown hovers over negotiations between Millstone and utilities over power prices
The Malloy administration last year selected Millstone as a source of “low-cost zero carbon energy” and offshore wind that combined will bolster Connecticut’s contribution to reduced emissions. The state Department of Energy and Environmental Protection directed Eversource and UI to negotiate a price downward “to better reflect a reasonable rate of return for the plant’s owner, Dominion Energy,” then-Gov. Dannel P. Malloy said in December.
A “normal utility rate of return on equity” is 9 percent, but the state would consider 12 percent to 15 percent reasonable for a plant with a long-term contract, Malloy said.
Emily Lewis, a senior policy analyst at the Acadia Center, an environmental advocacy group, said the attempt to negotiate a lower price with Millstone is a “big ask.”
“It comes back to ratepayers,” she said. “How much are ratepayers going to pay to subsidize Millstone?”
Read the full article from the Hartford Courant here.