With electric bills constantly, and steeply, on the rise along with record increases in inflation, many Mainers are finding it difficult to keep the lights on and their homes adequately heated.

Low-income Mainers are counting on the state Legislature to help conserve their savings with policies designed to protect them from potential electric rate increases that are unreasonable and inequitable. When it comes to bringing down the cost of consumers’ electric bills, any future relief will need to begin with important changes to LD 318, a bill slated to be voted on this week.

Despite a handful of other states having already rejected similar so-called electric rate “reforms,” LD 318 — “An Act to Provide More Options to Maine Electric Service Customers and Support Maine’s Climate Goals” — passed through the Energy, Utilities and Technology Committee and will be voted on shortly. If passed into law in its current form, the bill would enable a restructuring of how we pay our electric bills in Maine, and it will have dire consequences for the state’s most vulnerable residents.

LD 318 promises benefits to Maine consumers by permitting third-party retail providers to capitalize on Maine’s utility marketplace. These out-of-state retail providers will undoubtedly make the utility marketplace more confusing and more complicated for ratepayers.

The truth is, we already know that this is the inherent danger in moving forward with such a plan. In nearly every study that compared customer bills for standard offer service in other states, residential customers experienced both higher bills and higher rates of residential disconnection. Between 2015 and 2019, Connecticut saw excess charges to ratepayers balloon to more than $240 million. In Illinois, between 2019 and 2020, excess charges hit $234 million.

Despite overwhelming evidence showing the drastic increase in rates brought on by competitive electric supply companies, Maine is poised to spend taxpayer dollars to explore the very same policy.

In addition, there is plenty of evidence from around the country that exposes the predatory sales practices many of these retail providers demonstrate. Retail providers in Connecticut, Massachusetts, Ohio and Pennsylvania were recently fined following investigations that revealed what are known as “teaser rates,” which quickly expire only to be replaced with variable rates. These providers were also utilizing a variable rate system with no cap, enforcing cancellation fees and other hidden charges, and failing to provide advance warnings concerning sudden rate increases. Sadly, the result of these practices often led to service disconnection.

It is important to note that there is an aspect of LD 318 that would benefit Maine electric customers. The funding set aside to study Maine’s standard offer, or default service, will help the state to understand how to avoid future sudden rate increases, such as those we saw this past January. Maine can improve how electricity purchases are made in the future, make smarter decisions to protect electric utility customers, and work to avoid dramatic jumps in rates. Figuring out how best to do this is something we would applaud.

Unfortunately, in its current form LD 318 does not work in favor of electric customers and Maine’s ratepayers. The bill needs to include consumer protections that are written by regulators, not the retail electric industry.

LD 318 needs to include a broad study intended to protect low-income customers. It needs to eliminate variable rate contracts. Ultimately, LD 318 needs to simplify, not complicate, Maine’s electric utility billing methods.

We hope state legislators will take the time to re-examine LD 318 and improve this bill by including these vital consumer protections to this study. Without further debate and discussion, bills such as these can have unintended consequences.

The cost of electricity is an issue that affects every Mainer from all corners of the state. Access to electricity should be fair, affordable, accurate and transparent. No matter where in Maine you live, we can all agree that driving future electric rates even higher is the last thing Maine ratepayers, particularly low-income, older Mainers, can afford.

Noël Bonam of Portland is state director of AARP Maine.