Danvers Electric Rates To Rise More Than 5 Percent To Cover Fuel Costs

DANVERS, MA — Danvers Electric customers will see their bills increase by more than 5 percent this winter to cover higher natural gas fuel costs.

The town said that while it was able to keep its operational budget stable for 2023, the rate increase is necessary given the added cost of purchasing and delivering electricity. The town said the fuel charge each customer pays will increase an average of $6.01 per month — 5.31 percent — for the average residential customer using 750 kilowatts per month.

"Both the Board and staff have looked hard at the projected energy costs for 2023 and believe a rate increase to cover the increased cost of natural gas is needed," MLB Chair Bill Hayes said. "The Board is pleased that the recommended increase was well below the rate increase approved for the investor-owned utilities in this area."

Danvers Electric said that with this increase, Danvers Electric's rates remain roughly one-third lower than the average electric customer in Massachusetts.

Eversource petitioned the state Department of Public Utilities to raise rates 38 percent this winter after a 22 percent increase from last winter, while National Grid asked to more than double its rates.

The utility said regulations require Danvers Electric to return any excess fuel costs collected during the following year to the customers. This return of funds is included in the rate calculation each year.

The Board will next look at the rates in June to determine whether a mid-rate adjustment is necessary at that point.

(Scott Souza is a Patch field editor covering Beverly, Danvers, Marblehead, Peabody, Salem and Swampscott. He can be reached at Scott.Souza@Patch.com. Twitter: @Scott_Souza.)