Over the last few years, residents across New York State have been receiving abnormally high electric and gas bills from their utility companies, such as New York State Electric & Gas (NYSEG) and Central Hudson. Several factors have contributed to these bills and their rate hikes, from energy demands to state climate initiatives, and several state officials have attempted to mitigate costs for residents through the legislation process.

Karina Tipton, a Village of Montgomery resident and Central Hudson customer, stated that her utility bills generally fluctuate, but have doubled in price over the last three months. After deciphering her bills, she noticed that electric prices increased far more than gas prices. Tipton also recounted a particular bill from November 2023, during which she and her husband bought an electric car charger. Her bills from the following winter were increased, but she found out it was due to the rate hike, not her car charger.

Additionally, Tipton asserted that utility companies make it very difficult for customers to comprehend their bills. Using her own as an example, her utility bills feature confusing abbreviations, several unexplained charges, and bill adjustments every other month. These bills have led many customers, including Tipton, to grow weary and untrusting of their utility companies.

“Utility companies make it impossible to read and understand bills. It doesn’t help me trust them,” Tipton said on March 27.

So why have utility rates increased so much? Seasonal conditions can play a role in a customer’s utility bill, such as using extra heat to stay comfortable during a harsh winter. John Revella, village manager of Walden, stated that this factor held less weight this year, as he felt that this past winter was mild compared to previous seasons.

“NYSEG tried to blame it on the weather, but we have had much harsher winters in the past,” Revella said on March 14.

Assemblyman Brian Maher and Senator Rob Rolison asserted that the state’s clean energy initiatives are partly responsible for the rate hikes, with ratepayers shouldering the cost of the NYS Climate Leadership and Community Protection Act. While Maher and Rolison are in favor of clean energy, they want the state to be more conscious of potential cost burdens on residents when pushing these initiatives.

“My office continues to be flooded with calls concerning both Central Hudson and NYSEG with consumers and businesses facing massive increases in their utility bills. While a harsh winter and billing issues on behalf of the utilities certainly plays a role in these increases, it cannot account for the entirety of these massive bills. We can also attribute a portion of these increases to the New York State Climate Leadership and Community Protection Act, also known as CLCPA,” Maher said on March 29. “I am all for investing in clean energy, but the CLCPA has gone too far too quickly without considering the impact to both consumers and the environment.”

“Gas and electric prices are increasing. Albany-mandated utility companies make billions of dollars in investments to comply with the Climate Leadership and Community Protection Act,” Rolison said on March 17. “We all support clean energy, but these mandates are being passed on to ratepayers in a way that makes these investments unaffordable.”

Tipton attributed the rate hikes to growing energy demands; more energy sources have entered the state’s electric grid, straining energy supplies and increasing their prices. She added that utility companies like NYSEG and Central Hudson are for-profit businesses that need to make a profit for their stakeholders. She felt that profit-driven incentives are unfair to customers, especially given that there are currently no restrictions on rate increases.

In response to the rate hikes, Senator Joseph Addabbo Jr. and a few other co-sponsors passed Senate Bill S1194, requiring utility companies to give their customers a 45-day notice for service rate or charge increases. Rolison also introduced two bills in the senate committee last January: Bill S980, which would require utility companies to hold public hearings for rate hikes, and the Ratepayer Relief Act, which would create a tax credit for middle and working class utility ratepayers.

“Utility companies have come under fire for skyrocketing rates, billing issues, and a lack of transparency,” said Isabella Paquette, Director of Communications for Rolison, who co-sponsored Addabbo’s bill. “With household budgets stretched thin by rising costs, Bill S1194 is a step in the right direction, ensuring ratepayers have time to prepare for higher bills, especially heading into warmer weather.”

Tipton, meanwhile, felt that residents should not rely on the state to address rate hikes, but rather take action at the municipal and county level. She asserted that local communities could employ energy-efficient improvements to lower their energy use, thereby lowering their bills, and push their county officials to pass energy-related laws.

“We need to do things at the community level and figure out the steps to help people at the municipal and county levels,” Tipton said. “We can’t wait for the state to take action.”