The New York State Department of Public Service (DPS) has announced that Central Hudson Gas & Electric Corporation (Central Hudson) has agreed to pay for an independent monitor to verify system and operational improvements to correct billing system errors, and to accelerate its plans to perform monthly meter reading for its customers.
The independent monitor will review the capability and functionality of the company’s customer information and billing system; review the integration of monthly meter reading into the system, along with a timeline to complete the work; and evaluate whether the company’s remedial actions taken to date have effectively resolved the problems identified. The interim agreement to install the independent monitor at shareholder expense does not resolve the Public Service Commission’s (Commission) ongoing investigation into past billing system failures by the company.
“Customers rightly expect to receive timely and accurate bills for their utility services,” said DPS CEO Rory M. Christian. “Unfortunately, our investigation and audit found that Central Hudson wasn’t meeting this basic expectation. There is evidence, however, that the company has corrected many of the problems that led to the billing system errors, and our independent monitor will verify that these corrective actions are working and will be sustained. Furthermore, the company’s commitment to accelerate implementation of monthly meter reads for customers is expected to reduce the number of customer disputes associated with inaccurate estimated bills.”
Throughout the investigation, DPS pressed Central Hudson to prioritize fixing and improving their billing system so that customers receive accurate and timely bills. The corrective actions appear to be working. For example, a sampling of DPS complaints received between November 2022 and January 2023 showed that close to 25 percent of the complaints were due to Central Hudson errors. A subsequent sampling of complaints received between February 2023 and April 2023 indicated that less than one percent were due to Central Hudson errors.
As part of the overall effort that’s been done regarding Central Hudson billing issues, DPS acknowledges work by Congressman Pat Ryan and Ulster County Executive Jen Metzger, which included holding workshops and meetings with consumers and Central Hudson to address billing issues.
“At long last, relief is finally on the horizon for Central Hudson customers. Since December 2021, customers have suffered every imaginable type of billing error,” said Assembly member Jonathan Jacobson. “Senator Michelle Hinchey and I introduced legislation to curtail the two major issues causing customers stress: late billing and estimated billing. Now, the Department of Public Service is installing an independent monitor—to be paid for by Central Hudson—to ensure the utility gets its billing program corrected so that customers receive timely and accurate monthly bills. Time to make things right, Central Hudson.”
“Customers experienced nearly two years of late bills, no bills, excessive estimated bills, and/or grossly inaccurate bills. While I am pleased with the PSC’s decision, Senator Hinchey and I will continue to pursue our utility reform legislation to ensure that Central Hudson and all utilities follow the law,” continued Jacobson
In addition to the items above, the joint agreement also stipulates that Central Hudson shall continue to thoroughly investigate all complaints of billing errors and shall continue to promptly refund overpayments to any and all customers who have been overcharged.