Norwich Public Utilities (NPU)

A municipally owned utility serving Norwich, CT with
natural gas, electricity, water and sewer services.

Home For My Business Policies Commercial Deposit Guidelines

Commercial Deposit Guidelines

A Commercial Account is defined as any property used for business purposes including residential rental properties, multi-family and non-owner occupied single family dwellings.

By following these commercial account security deposit guidelines, Norwich Public Utilities (NPU) will continue to provide competitive utility rates by protecting all customers from absorbing the debt created by delinquent commercial accounts. The following security deposit guidelines will be applied to all new commercial customers seeking gas, electric, and water and/or sewer services from NPU.

1. Commercial accounts are required to pay a security deposit prior to service turn on. If service is already in place, the deposit is due within ten business days of establishing the account in a new customer’s name.

a. Commercial accounts are required to provide a security deposit equal to an estimated bill for three months in which consumption will be the highest over a twelve month period for anticipated natural gas, electric, water and/or sewer usage prior to receiving service.

b. The estimated amount of the security will be based upon previous usage at the same property or a similar business located within the city of Norwich.

c. New construction/renovations that require service prior to transfer to owner are required to pay a deposit for utility use during construction. Once construction is complete, services will be terminated and the deposit will be applied to all outstanding balances and any deposit remainder will be returned. New owner must sign in for new services and pay deposit prior to account activation.

2. In lieu of a cash security deposit, a customer may select one of three other deposit options:

a. Security deposits can be made by certified bank check.
b. Security deposits can be made by credit card (Visa or MasterCard)
c. Security deposits can be made with a surety bond from a valid insurance provider that must kept in full force by the customer for the duration of the account.

3. For accounts where service has been terminated, all account balances and security deposit in the customer/business name must be paid in full prior to service being restored.

4. Security deposits shall accrue interest of .125% per month as required by law.

5. NPU shall retain the security deposit for as long as the commercial account remains active. At business closure or relocation, the security, deposit including interest will be returned after all outstanding charges are paid.

6. Failure to pay the required deposit will result in termination of services within 30 days.


Blanket Deposit Guidelines For Multi-Family Properties:

Any owner of a multi-family property is required to pay a Blanket Deposit that will be held on the house / water account location. Owners will be responsible for all deposits until the account is closed.

The Blanket Deposit will be held for each multi-family property as follows:

·         A deposit of $500 will be required for each house / water account plus $100 per unit, which will be held in the owner’s name until the account is closed.

·         A deposit of $500 will be required for any single family home or condominium, which will be held in the owner’s name until the account is closed.

·         Unpaid balances on any unit will be subject to termination.

·         Any unpaid final balance for consumption on any unit will be transferred to the house / water account.

·         The deposit for any multi-family property with more than ten units will be evaluated on a case-by-case basis.

Commercial properties located within the City of Norwich Enterprise Zone will be eligible for a 50% reduction of all deposits. Such a reduction will be subject to confirmation and agreement with NPU.



Download NPU Security Deposit Guideline for Commerical Accounts



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Natural Gas: 860-887-7207
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