The Massachusetts Department of Public Utilities issued a rate order for Massachusetts Electric Co. approving an annual revenue increase of $38 million.
The decision on the five-year rate plan included an allowed return on equity of 9.6%, based on an equity ratio of 53.5%, according to an Oct. 2 filing.
The National Grid PLC utility originally filed the rate case in November 2018. The order includes a new performance-based rate mechanism that will fund both capital and operational expenditure across the duration of the rate plan, ensuring that inflation is factored into the cost base.
In addition, the DPU approved a budget of $50 million for a future utility-scale energy storage filing and $8.5 million of funding for electric vehicle charging infrastructure.
