Winter is coming. So are deeper electric bill discounts for low-income Rhode Islanders

Marissa Diakite can’t seem to catch up.

First it was electricity bills for the Pawtucket apartment she shares with her mom. The costs kept rising even as she worked more – and was home less – to try to make ends meet, she said.

Now, Diakite has debt from months of partially unpaid electric bills. And the other costs: rent, gas, student loans, even internet, are becoming harder to manage.

“For a while I went without wifi because it was too much of a luxury,” the 26-year-old CNA said in an interview Monday. “I portion all my food. But I’m starting to fall behind more.”

She is not alone. More than 114,000 Rhode Island Energy customers were behind on their electric bills, owing a combined $172.9 million in debt as of September, according to company filings with state regulators. 

Recognizing the financial strain facing customers — and cutting into its own pockets — the state utility supplier is set to launch an expanded discount program for low-income customers starting in January. The Enhanced Electric Discount Rate approved by state regulators in August reimagines an existing, two-tier discount program by concentrating the bulk of the savings for the lowest income, and most vulnerable, customers. The resulting five-tier program, modeled after offerings in other states including New Hampshire and Connecticut, aims to curb monthly electric bills such that eligible customers spend no more than 3% of their income on electricity costs. 

“There’s a lot of talk about affordability right now, and these enhancements provide real solutions for income-qualified customers by making sure their discount is directly tied to their financial circumstances,” Greg Cornett, Rhode Island Energy president, said in a statement on Monday.

The largest savings will be for people who earn at or below 50% of the federal poverty level: up to $7,980 for one person, or $16,500 for a family of four. For that income bracket, company discounts will cover 75% of monthly electric bill costs. The discount level decreases as income rises, with the smallest discount, of 10%, available to individuals whose earnings are between $23,940 and $39,900, or $49,500 and $82,500 for a family of four.

Most of the 33,000 Rhode Island Energy customers already enrolled in the existing, smaller program will automatically receive the enhanced discounts once the new program begins, said Carrie Gill, Rhode Island Energy’s head of electric regulatory strategy. 

However, some customers may be asked to verify certain personal information like names, addresses, and income to continue receiving discounts. For those people, notices are already in the mail, Gill said in an interview Monday.

Widening the net

Gill also hoped a wider public outreach campaign about the enhanced discounts would increase participation. Company analysis shows that just 25% of the customers who qualify for existing discounts participate in the reduced rate program, potentially because the discount is so small that some customers decide it’s not worth it, Gill said.

“We do think we will see increased enrollment because discounts are more meaningful for folks and because we’re doing this outreach,” Gill said.

She declined to share a projection on enrollment, saying it would be premature.

Also too early to predict are the potential returns for Rhode Island Energy. The company expects to spend $22.7 million in the enhanced discount program — 3.5% more than its existing discount offerings — according to analysis by Roger Colton, a consultant for the Rhode Island Division of Public Utilities and Carriers. But Colton also pointed out in regulatory filings that the net cost to Rhode Island Energy may actually be a savings, since more customers will be able to pay their bills, in turn reducing money on debt collection and shutoffs.

Gill agreed.

“If there are fewer arrears, there’s less expenses on collections,” she said.

But again, potential positive returns won’t materialize right away.

“Payment is a behavior and behavior changes take time to go through,” Gill said.

For people like Diakite, relief can’t come soon enough.

“It adds a lot of mental stress when you see all the bills compiling,” she said. “Trying to balance everything is getting kind of ridiculous.”

For some, it comes too late. More than 4,000 Rhode Island Energy customers had their electricity shut off as of September for unpaid bills, just under 1% of the 466,000 customers, according to company filings. That’s 33% more than in September 2025, when pandemic-era protections preventing utility shutoffs were still in place.

Those protections ended in May, leading to a sharp rise in utility shutoffs and calls for assistance to nonprofit and advocacy groups like United Way of Rhode Island and the George Wiley Center.

A seasonal moratorium on shutoffs began Nov. 1, keeping customers with unpaid bills in light and heat through May 1. But Camilo Viveiros, lead organizer at the George Wiley Center, remained worried for the thousands of customers whose age, health and financial circumstances put them at risk when the moratorium ends next spring.

Especially as energy prices continue to rise, driven by global unrest and limited supply, potentially making the enhanced discounts not as helpful, Viveiros noted.

“We still need more protections,” he said, naming more flexibility in repayment for customers facing serious medical conditions, and a hot weather-specific shutoff moratorium as important measures. “As is often the case, you win incremental victories and you continue to push for more.”

Cornett in a statement credited advocates for helping shape the upcoming discount program, which achieves the same objectives as the long-desired Percentage of Income Payment Plan program available in a dozen other states.

The tiered-income policy has been a perennial proposal at the Rhode Island State House, introduced every year for at least a decade but stalled amid industry opposition and competing legislative priorities.

The Public Utilities Commission authorized Rhode Island Energy to roll out the new discount program in January, but does not set a specific date. The start date will depend on extenuating circumstances, like another historic blizzard requiring emergency storm response, Gill said.