Rhode Island Energy Proposes Rate Increase. What It Could Mean for Your Electric Bill

In a NBC 10 News report published in November, Rhode Island Energy (RIE) proposed a distribution rate increase that could go into effect in September 2026 if approved by the Public Utilities Commission.

The proposal is the first comprehensive rate review since 2017 and aims to generate roughly $230 million over two years by raising base delivery rates on both electric and natural gas service. If it stands as filed, the average residential electric customer could see bills grow by about $7.78 per month, and the average natural gas customer could see increases of more than $340 per year.

Utility officials say the money is needed to improve aging infrastructure, modernize the grid, and enhance customer service, priorities we all share. This proposal is still under review, but it signals that future electric and gas bills could rise as infrastructure costs are passed on to customers. But for homeowners and businesses, it highlights a broader truth.

1. Traditional energy systems are aging and expensive to maintain

Rhode Island Energy’s pitch acknowledges that lines, pipes, and billing systems have not had a major rate review for eight years. Costs for materials like wire and pipe have risen significantly, and inflation has squeezed utility margins, according to Rhode Island Energy.

This reality underscores why modern distributed energy solutions like rooftop solar, battery storage, and local microgrids are not just environmental wins. They are economic and reliability investments too.

Learn more about Solar and battery solutions for Rhode Island homeowners.

2. Rate increases are not just about energy. They are about infrastructure resilience

Utilities talk about reliability improvements and cutting outages through technology upgrades. But when cost increases hit customers directly, it can feel like paying more to stay with the same old system. Building smart local energy systems can reduce demand on centralized infrastructure and move closer to energy independence.

This proposal will be reviewed by the Rhode Island Public Utilities Commission, which evaluates how utility investments impact customers.

3. Solar plus storage is a hedge against rising bills

Every dollar you generate with solar is a dollar you do not send to a utility with rising delivery charges. Pairing solar with battery storage does not just save money. It protects against outages and price volatility. As utilities invest more in centralized systems, those costs are typically reflected in customer rates over time.

National trends already show electricity prices rising over time, based on national electricity price data from the US Energy Information Administration.

Learn more about solar and battery storage systems.

4. Affordability still matters

Governor McKee’s office issued a statement pushing back on the proposal, arguing that now is not the time for higher utility rates and advocating for bill relief plans instead.

Whether the Public Utilities Commission sides with the utility, the governor, or finds a middle ground, one thing is clear. Energy costs are a political and economic flashpoint in Rhode Island.

Rhode Island Energy Rate Increase. What It Means for Homeowners

• Rhode Islanders need solutions that lower long term costs

• Solar plus storage offers predictability and protection

• Local clean energy strengthens grid resilience

• Investments in modernization must benefit customers, not just shift costs

Clean Energy is Not Just About the Environment. It is About Dollars, Sense, and Resilience

This rate case is a reminder. The centralized utility model is under stress from rising costs, aging infrastructure, and inflation. Distributed solar, paired with smart energy management and storage, gives homeowners and businesses more control over their power, their costs, and their climate impact.

If your electricity provider is gearing up to raise rates, ask yourself:

• Are you maximizing your rooftop

• Are you using storage to shave peak charges or back up your home

• Are you investing in energy independence for your home and community

For homeowners exploring ways to reduce their long term exposure to rising utility costs, local solar and battery storage options can offer a practical path forward.

Clean energy solutions help Rhode Islanders fight rising utility rates, strengthen local grids, and build a more affordable, resilient, and sustainable future.

For homeowners exploring ways to reduce their long term exposure to rising utility costs, a solar consultation can help clarify next steps.

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