Maine Power’s Rate Hike: Is It Worth the Money?

Central Maine Power (CMP) is again asking the state’s Public Utilities Commission for a rate increase. Before any decision, it’s essential to examine whether the company truly deserves more money from its customers. The reliability record is alarming. Data from the U. S. Energy Information Administration shows that between 2016 and 2024, Maine was among the worst states for power outages. In six of those nine years, it finished last nationally when major events were counted. Even without big incidents, Maine had the most outages in three years. In 2024 alone, a typical customer lost power 2. 5 times, compared with the national average of just 1. 1. The situation is equally bad when looking at how long outages last. In eight of the nine years, Maine ranked among the bottom states for total hours without power. That year, a regular American lost 2. 3 hours, while a Maine customer lost 5. 8—more than double. CMP’s defense often points to Maine’s storms or its dense forests. However, most trees lie far from where people live; the area around CMP’s customers is only 62% forested. Moreover, Maine rarely experiences hurricanes, tornadoes, floods or earthquakes that could explain the persistent problems. The weather argument does not hold up against nine years of poor performance.Customers notice these issues too. JD Power surveys rank utilities on satisfaction. In three of the last six years, CMP was last among residential customers in a pool of 120 utilities. For business users, it finished last in four of six years when ranked. These scores suggest a company that has lost focus on its service. CMP’s decline began in 2000 when it was bought by Energy East, and accelerated in 2008 after Iberdrola took over. The company’s priorities shifted from reliable, affordable service to maximizing returns for its foreign owners. The results are clear. Investing in Maine’s power grid is necessary, and customers deserve at least average reliability. But granting CMP a rate hike without clear evidence of responsible spending or real improvement is risky. The Commission should enforce strict oversight on any capital projects, possibly adding technical staff at the company’s expense. It should also set a fair return on equity—around 6%—with audited performance targets that reward or penalize based on actual outcomes. Ratepayers have waited long enough. The Commission must hold CMP accountable, demand tangible performance gains, and ensure that any new funds are used wisely for the public good.