The Rhode Island PUC approved without modification 50% increases in National Grid's (Narraganset Electric) default service electric rates, leaving politicians scrambling to promise to do something to provide relief.

The increases were driven by capacity price spikes in the relevant ISO-NE capacity auction. National Grid, which does not profit from SOS, noted that wholesale market rates reflect such capacity pricing, and the PUC noted that Grid followed the current competitive, market-based, full requirements process for SOS

As previously reported by EnergyChoiceMatters.com, the SOS rate now approved for the Narraganset Electric Residential Customer Group for the October 2017 through March 2018 period, including the current per-kWh Standard Offer Adjustment Factor of ($0.00465), the Administrative Cost Factor of $0.00148, and the Renewable Energy Charge of $0.00040 is jumping to $0.09515/kWh. This is an increase of $0.03287/kWh or 53%, compared with the current SOS rate of $0.06228/kWh.

See EnergyChoiceMatters.com for the C&I default service rates, which were also approved without modification

Politicians rushed to criticize the PUC's approval of the SOS rate increases.

Governor Gina Raimondo said in a statement, "In the months ahead, I will direct our regulators to complete a comprehensive review of the utility companies’ rates and ensure that Rhode Island consumers are paying a fair rate and not a penny more."

According to WJAR-10, State Rep. Bob Lancia, R-Cranston, plans to introduce legislation which would create a commission to review National Grid and future energy costs, and asked, "Can we do things better and how can we do that?"

Lancia called the rate hike, "the proverbial straw that breaks the camels back," WJAR-10 reports

Whether that means changing the competitive, market-based, full requirements SOS process to a less-market-reflective process remains to be seen.