Con Ed proposed rate hikes for NYC, Westchester spark fury from consumer advocates

Con Edison is a greedy, covetous Scrooge, using outrageous holiday rate hikes to squeeze money out of penny-pinching customers already in debt from bills they couldn’t pay during the pandemic, consumer advocates said Thursday.

Despite generating $1.3 billion in net income for shareholders in 2021, the utility giant seeks to dramatically raise rates for gas and electricity on New Yorkers who advocates say have amassed more than $700 million in utility debt because of the pandemic.

As the holidays approach and temperatures fall, Con Ed stands by its request that the state Public Service Commission says would increase residential electricity rates by 13.2% and residential gas heating rates by 19.1%

State utility officials estimate that the company’s request would boost a typical residential electric bill by $20.90 per month, and a typical gas heating bill by $37.88 per month.

New Con Ed rates were supposed to go into effect in January. But the Public Service Commission, which regulates utilities across New York, expects to delay a decision on the rate hike until April.

What consumers end up paying will vary.

Con Ed’s most recent rate increases, in 2017 and 2019, were less than the company asked for. And energy prices fluctuate, affecting consumers’ bills. Con Ed resells natural gas and electricity it buys from generating companies without markup.

Consumer advocates said any rate hike is like getting a lump of coal in their stockings.

“New Yorkers cannot stomach another rate hike from Con Ed,” said Assembly member Linda B. Rosenthal (D-Manhattan).

“This proposed round of rate hikes — nearly $21 a month more for electricity, and a staggering $37.88 more a month for gas — will only enrich Con Ed’s executives and shareholders while leaving many New Yorkers unable to pay their bills.”

Rosenthal said the infrastructure funded by the increases will perpetuate America’s reliance on fossil fuels.

A Con Ed spokesman, Allan Drury, said the rate increase for its New York City and Westchester County customers will fund clean energy investments in support of the state’s climate goals, and will go toward infrastructure upgrades that will help keep customers in service during severe weather.

Drury said the utility company stopped turning off service to customers in March 2020 and has not resumed turnoffs for low-income customers.

“We try to work with customers to help them with their bills,” Drury said. “We can put them on payment plans, allowing them to pay off past-due balances over time.”

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