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December 19, 2006

Senator Elect Debicella Seeks Energy Rate Relief
Emphasizes that State Needs Multiple Solutions to Growing Problem

State Senator-elect Dan Debicella (R-Shelton) today outlined his plan to provide relief from escalating utility costs for Connecticut families and businesses.  Senator-elect Debicella is proposing short, medium, and long-term solutions to establish an affordable and sustainable energy policy for state residents.

“Working families in Connecticut are being hit hard by the unfair proposed rate increases from United Illuminating, and the legislature needs to act immediately to help solve the problem,” said Debicella. 

With the UI increase scheduled to go into effect next month, Connecticut taxpayers will have the highest electricity rates in the continental United States.  “As a legislature, we have a responsibility to do whatever we can do to provide relief for families and small businesses,” said Debicella. 

In the short term, Debicella proposed eliminating the sales tax on electricity and natural gas.   “Along with my fellow Senate Republican colleagues, I am introducing legislation as soon as the legislative session convenes in January that would suspend the Public Service Company (PSC) tax on gas and electric bills.”  Debicella noted that this would total $100 million in lower costs for families, to be paid from the current budget surplus.  Debicella said, “This tax cut of 6% won’t totally offset the increase from UI, but it will mitigate it significantly and provide real relief for working families and small businesses.”

In the medium term, Connecticut  needs to fix electricity deregulation, according to Debicella.  “The root cause of this price increase lies is a structural problem in electricity generation.  Our demand for electricity keeps increasing, but our supply does not.  Deregulation was supposed to bring more electricity supply and competition to Connecticut, but it has not so far.  We need to start looking at changing the deregulation laws to promote more electricity generation and competition to bring down prices in Connecticut.”
           
In the long term, Debicella believes Connecticut must move towards exploring alternative sources of energy.  “Sustainable, environmentally-friendly alternatives are the long-term solution to increase our supply of power in Connecticut.  We need to be exploring economically feasible ideas such as fuel cells, biodiesel, and water power,” said Debicella.  “State Representative Larry Miller (R-122) and I are proposing legislation that encourages research on alternative fuels such as biodiesel,” added Debicella. 

In November, Debicella was elected to the 21st District state Senate seat, which is comprised of the communities of Monroe, Seymour, Shelton, and Stratford.