PORTLAND, Maine (WMTW) – The Maine Electric Ratepayer Advisory Council says approximately 100,000 households in the state struggle to pay their energy bills, WMTW reports.
In its latest report released Sunday, the council said electricity prices in Maine are twice the national average and low-income ratepayers spend about 8% of their household income on electricity alone, which is double the 4% maximum recommended by consumer experts.
According to the council, the difference between what electricity costs in Maine and what low-income customers can afford is estimated to be $85 million per year. The council also said that when looking at the percentage of household income spent on electricity, low-income households pay three times more than the average household.
The Electric Ratepayer Advisory Council is tasked with evaluating the affordability of electricity in Maine and advising the state’s Office of the Public Advocate on potential savings measures. The council consists of 13 voting members representing customers, special interest groups and utilities across Maine.
The council is urging the Maine Legislature to expand the Low-Income Assistance Program to provide larger benefits to more low-income households, as well as increase outreach to teach Mainers how to be more efficient with their electricity use and cut costs.
“The LIAP program is a good start,” Maine’s Public Advocate William Harwood said. ”It is woefully underfunded. Right now, the funding is at about 22 million. What this consultant said is that we need about 85 million to close the affordability gap.”
Harwood suggested the sales tax on electricity could be used to fund the program.
The council is also asking that the Office of the Public Advocate get access to the data it needs to complete the research of the market to determine the extent to which low-income ratepayers are being overcharged by competitive electricity providers.
MaineHousing also offers the Home Energy Assistance Program, funded by the federal government, to help Mainers pay their heating costs. They say they’ve seen an increase in people requesting help in recent years.
“It’s gone up about 20% each year for the last couple of years,” Erik Jorgenson, MaineHousing Senior Director of Communications and Government Relations, said. “People all over the state are suffering from the cost of keeping warm, and this is one way to help with that.”
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