Rate Request

On March 1, Versant Power mailed legal notice to customers regarding our request to change distribution rates in 2025. We want to share some information with you about the request and why we’ve made it.

Electric Bill Impact

For the average residential customer using 500 kilowatt-hours per month, this would mean an increase of about $12 per month. For a customer using 750 kwh, it would result in an $18 increase, and for 1,000 kwh, an increase of about $25. 

• There are a total of five rates that make up customer electric bills.
          ○  Two of those rates are related to the delivery of electricity.
                    ■ Versant Power’s rates are transmission and distribution, which represent the cost to bring electricity from where it is made to your home or business.
                    ■ Versant Power’s rates are regulated by the Maine Public Utilities Commission and Federal Energy Regulatory Commission
          ○ Conservation charges go directly to support Efficiency Maine programs.
          ○ Stranded costs reflect the cost of state programs, long-term power purchases and contracts left over from deregulation.
          ○ The last rate is for electric supply.
                    ■ That rate by default is Standard Offer Service
                    ■  Customers can choose their own electric supplier.
                    ■  Versant Power does not generate or sell electricity, but we bill on behalf of those that do.

Our Investments

We are asking for this rate change to:

• Install covered wire in heavily forested areas in northern Penobscot, Piscataquis and Hancock counties to reduce outages called by falling trees and branches
• Perform work and replace transformers at substations in Brewer, Washington County and southern Aroostook County to ensure reliability
• Rebuild infrastructure in Mount Desert, Southwest Harbor, Blue Hill and Trenton to improve reliability
• Replace an underwater cable from Swan's Island to Frenchboro
• Recover costs of major storm restoration efforts
• Invest in technology to modernize customers' interactions, including a new web portal as well as email and text notification capabilities, and keep sensitive data secure
• Continue work to maintain the reliability and resiliency of the grid in the face of rising costs of materials and labor

Rising energy costs and inflation

• Like all businesses, we are affected by price increases and labor market pressures.
• If this rate change is approved, Versant Power will still offer distribution rates and total average residential bills that are lower than most comparable New England utilities.

There are resources available for customers who need help with their electricity bill.

• Check out “Programs and Services” at versantpower.com.
• Visit the Department of Energy’s Energy Saver site or Efficiency Maine for tips for information about how you can save money on your energy use.
• You can make simple choices to save substantial money on your energy costs.
• Efficiency Maine works with low-income residents to install heat pump water heaters for free, among other incentives.

System Reliability

In 2023, our team met and exceeded increasingly stringent performance quality metrics including SAIFI, CAIDI, and SAIDI. 

We identify electrical circuits on our system that are not performing to our standard and identify ways we can reduce outages for those customers, including tree trimming, covered wire, and installation of protection equipment.

Each year, we cover more than 2,000 miles trimming trees and work with landowners to remove "danger trees" outside our right-of-way.

Customer Service

If you have additional questions or comments about our rate request, please email us at [email protected] and let us know. Information on proceeding participation is provided in your Customer Notice or you can visit the MPUC online case management system.

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Versant Power provides electric delivery service to two areas – the Bangor Hydro District and the Maine Public District.

            The Bangor Hydro District includes Hancock, Piscataquis and Washington Counties and most of Penobscot County.
            The Maine Public District serves Aroostook County and a small piece of Penobscot County.

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