The State Public Service Commission will hold two hearings in the Buffalo Niagara region Jan. 24 on National Grid’s proposed three-year rate agreement that would increase the company’s revenues but still lead to lower bills for its customers.

Under the agreement, reached last month, a typical National Grid residential electricity customer’s average monthly bill would drop by nearly 7 percent in April and then rise modestly during each of the following two years. After the initial drop, a typical residential customer’s estimated bill would rise by a projected 3.3 percent in April 2014 and another 2.1 percent in April 2015,

In all, the joint proposal between the utility, the PSC’s staff and other interested parties would increase National Grid’s electricity revenues by $123 million over three years. But that increase would be more than offset by the expiration of $190 million in surcharges that are ending and other customer credits, leading to a 1.7 percent reduction in overall electric bills, the PSC said.

The PSC will hold a hearing at 2 p.m. Jan. 24 in Cheektowaga Town Hall, 3301 Broadway, and another at 6 p.m. in the Amherst Municipal Building, 5583 Main St., Williamsville.