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    Friday, April 19, 2024

    Malloy and Northeast Utilities have gotten much too cozy

    It is the biggest pay-to-play controversy of the current gubernatorial campaign and the Connecticut Energy Marketers Association views very seriously the State Election Enforcement Commission's probe into the pro-Malloy fundraising efforts of a top Northeast Utilities official.

    Whether illegal or not, this is politics at its worst. State government should not be picking winners and losers in the energy market, especially when the CEO of a natural gas utility is fundraising on behalf of the governor. It just doesn't pass the smell test.

    The SEEC is looking into whether Northeast Utilities Chief Executive Officer Thomas J. May broke any laws by reportedly asking about 50 company managers to contribute money to help Gov. Dannel P. Malloy win re-election. NU has a lot to gain financially from Malloy getting re-elected into office. The governor's Comprehensive Energy Strategy (CES) calls on converting more than 280,000 homes in Connecticut to natural gas. If Malloy doesn't get re-elected, it's unclear what direction the CES would take. With Malloy in NU's corner, it's full steam ahead.

    We have said all along that this energy plan will only increase costs in the state and not lower them. New customers signing up for natural gas will pay up to 30 percent more than current customers to pay for the cost of building 900 miles of new pipelines across the state. And if NU doesn't raise enough money from new customers to pay for the expansion, current customers will be on the hook, meaning NU has been given authority to raise rates on them, too.

    NU shareholders and a company with more than $17 billion in assets contributes not one dime under the current deal. We have said all along if NU wants to expand its business, NU should pay for it and not the ratepayers. Yet, our call went unanswered. Perhaps now, we see why.

    With the State Elections Enforcement Commission expected to soon release the findings of its investigation into NU chief's pro-Malloy fundraising efforts, we urge investigators to leave no stone unturned.

    Chris Herb is president of CEMA, representing 600 family-owned home heating oil companies in Connecticut.

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