Consumers in some cities paying 10 to 20% less than last year
In the northeast, consumers paid 8.6 percent less for electricity in February than they did a year ago, in February 2015. That's almost a 10 percent price cut.
In the south, consumers paid 3.8 percent less than a year ago. That's a sizable cut too, though not as extraordinary as what northeasterners have enjoyed.
In the Midwest, consumers paid 0.5 percent more than they did a year ago. Roughly equal to increase in the overall consumer price index for the region. There, the dramatic fall in natural gas prices had less of a benefit.
Consumers in some metropolitan areas were particularly fortunate. In the New York City metro area, including parts of Connecticut, New Jersey and Pennsylvania, consumers paid 17.3 percent less.
In other words, if an NYC area household paid a $60 electric bill in February 2015, it saved $10.38 this February, with the same electricity usage. That's awesome.
In the Chicago metro area, consumers paid 10.9 percent less than a year ago. Boston area consumers paid 9.9 percent less. Dallas area consumers paid 8.7 percent less. Houston area consumers paid 7.7 percent less.
Other cities, which didn't benefit as much from falling gas prices, didn't fare as well. Their electricity prices are generally lower. But that's because electric utility rates rose slower than general inflation for years due to the historical price stability of coal.
This daily column is a service for you. From the magazine for commentary, opinion and debate on utility regulation and policy, since 1929, Public Utilities Fortnightly.
Steve Mitnick, Editor-in-Chief, Public Utilities Fortnightly
E-mail me: mitnick@fortnightly.com
