How much could Revolution Wind save electric customers in Connecticut?

With Revolution Wind now operational, the state Department of Energy and Environmental Protection (DEEP) said the project will soon help ratepayers save money.  

The wind farm, located off the coast of Martha’s Vineyard, began producing power a week ago.  

The milestone came after two attempts by President Donald Trump to halt the project over claims it threatened national security. On both occasions, judges ruled construction could continue. The start of production drew praise from project supporters.  

“There’s no question this is going to provide more supply, which, if you provide market economics of supply and demand, helps keep prices lower,” Rep. Joe Courtney (D-2nd District) said.  

DEEP Commissioner Katie Dykes was unavailable for comment Friday, but the agency has estimated the project could save New England customers as much as $500 million by 2028.  

That’s because Revolution Wind is expected to produce 704 megawatts of power, roughly 2.5% of the region’s grid. 

DEEP said the additional supply will help drive down overall prices, with Connecticut ratepayers estimated to save $125 million.  

There’s also a second way the project could save customers money.  

Connecticut has agreed to purchase 300 megawatts of power – Rhode Island is buying the rest – at 9 cents per kilowatt hour for 20 years.  

Eversource customers receiving traditional electricity pay between 9 cents and 12 cents per kilowatt hour, depending on the time of year.  

Eversource and United Illuminating will sell that energy on the wholesale market throughout the year.  

If they earn a profit over the course of a year, Connecticut ratepayers will receive a credit on their electricity bills. If prices drop and the utilities incur a loss, ratepayers will have to make up the difference through the public benefits charge.  

Republicans, who are normally critical of contracts for wind energy, agreed the state’s deal with Orsted for Revolution Wind is a good one. 

“This one project was bid so long ago it’s now affordable, but we’re looking at offshore wind currently, projects bid at 3 and 4 times the market rate for energy,” Sen. Stephen Harding (R-Minority Leader) said.  

Even if the project produces the expected savings, customers won’t necessarily see their electricity bills drop.  

Several factors affect electricity prices, so those savings might offset increases elsewhere.

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