Understanding Supply and Delivery Charges

Your Eversource electric bill is made up of two charges—supply and delivery. As a regulated utility, all of our rates are reviewed and approved by state regulators.

What's The Difference Between Supply and Delivery?

The supply charge is the cost of electricity you use. We purchase electricity from suppliers on your behalf and pass the cost directly to you, no profit added.

The delivery charge includes components for operating, maintaining and upgrading the electric system, funding critical customer services and programs, taxes and other state and federally-mandated charges. 

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Supply

We purchase electricity from suppliers that generate electricity at a power plant or generating station. We pass that cost on to customers with no profit added. 

See the latest supply rates

What is a supplier?

Suppliers generate electricity at a power plant or generating station. We purchase electricity from suppliers and it is transmitted to the electric grid.

All non-hardship customers have the option of choosing Eversource or another energy supplier to obtain energy on their behalf.

How we determine the supply rate

The supply rate is based on the current market price of electricity. This price changes twice each year—on January 1 and July 1—as demand for energy increases or decreases.

How you're charged

We track your usage in kilowatt hours (kWh). This is a measure of energy use over time. We then multiply your usage by the supply rate to determine your supply charge.

Supply rate x kilowatt hours = supply charge

Delivery

The delivery charge supports electric grid maintenance and upgrades, funds critical customer services and programs and includes mandated public policy fees that we are required to pass through to customers.

See the latest delivery rates

Usage impacts your delivery charge

Some delivery charges are calculated based on your usage and are charged in cents per kilowatt hour (¢/kWh). We multiply your usage (measured in kilowatt hours) by the rate to determine your charge. Using less energy can lower these charges. 

Delivery rate components

There are several components that make up the delivery charge on your bill.

Operating and maintaining the electric grid

Power is generated, transmitted and distributed to customers through the electric grid. These charges help us operate and maintain core components—the transmission and distribution systems.

  • Transmission Charge – The transmission system includes the large high-voltage power lines that deliver electricity over large distances from power plants to Eversource’s distribution system. This charge is for operating and maintaining this system.
  • Distribution Charge (per kWh) – The distribution system includes utility poles and wires in and around your city or town that deliver electricity to your home or business. This charge is for operating and maintaining this system.

Customer programs and services

These charges fund critical customer services.

  • Distribution Customer Service Charge – This fixed monthly fee covers costs related to billing, meter services, customer service and personnel. 

Upgrading the electric grid

  • Electric System Improvements (ESI) Charge - We make improvements to the electric grid to reduce power outages, shorten restoration times and seamlessly connect cleaner energy sources. This charge funds these investments.

Public policy charges

These items are not controlled by Eversource.

  • Combined Public Benefits Charge – This charge collects public policy costs for the Conservation and Loan Management Fund, Conservation Adjustment Mechanism, Renewable Energy Investment Fund, Operation Fuel, Heating Loan Program Boiler Loan Program, Passive Demand Response Program and other low-income energy assistance programs.
  • FMCC Delivery Charge - This charge collects public policy costs for the Millstone energy contract, other distributed resource (generation) programs, some long-term renewable energy contracts, The Low-Emission Renewable Energy Credit and Zero-Emission Renewable Energy Credit Programs, Solar Home Renewable Energy Certificate Program and Passive Demand Response Program

Bill adjustments

These items can appear on your bill as a charge or credit.

  • Revenue Adjustment Mechanism – We are authorized by PURA to recover a certain amount of distribution revenue each year. This adjustment allows us to recover money we do not collect (an under recovery) and requires us to issue a refund if we collect more than is allowed (an over recovery). 
  • Competitive Transition Assessment - This adjustment collects or credits costs related to the sale of Eversource power plants in the year 2000, long term purchase power contracts entered into before 1999 and some cost related to past nuclear power facilities.