Gov. Kathy Hochul is taking action to curb rising utility costs in New York, directing state regulators to reject Con Edison’s proposed rate hikes and ordering a statewide audit of utility company salaries.
In a letter to Public Service Commission Chair Rory Christian, Hochul called on the Department of Public Service (DPS) to reject Con Edison’s request to raise electricity rates by 11.4% and natural gas rates by 13.3%, a move she said would burden New Yorkers already struggling with high living costs. The governor also directed DPS to conduct a first-of-its-kind review of non-union management salaries at utility companies across the state, aiming to ensure ratepayers are not footing the bill for excessive executive compensation.
The audit follows concerns raised in previous reviews of investor-owned utility companies, including a recent examination of Central Hudson, which found that its bonus structure prioritized financial performance while setting reliability and service quality metrics at the lowest acceptable levels. Hochul said the findings underscored the need for stronger oversight in future rate cases.
Hochul has made energy affordability a key focus of her administration, expanding eligibility for the state’s Energy Affordability Program and launching the first-in-the-nation Energy Affordability Guarantee, which caps electricity costs at 6% of income for low-income households enrolled in the EmPower Plus program. Her administration has also secured more than $1 billion in utility bill relief, allocated $300 million to prepare power-ready sites for business development, and supported state investments in renewable energy to help offset rising costs.
To further address affordability, Hochul recently boosted funding for the Home Energy Assistance Program (HEAP) by $35 million and signed legislation making it easier for seniors to access utility assistance. She has also proposed a slate of middle-class tax relief measures, including an Inflation Refund providing eligible New Yorkers with checks of up to $500, a tax cut lowering rates to their lowest levels in nearly 60 years, and an expansion of the Child Tax Credit.
The Public Service Commission is expected to rule on Con Edison’s proposed rate hikes later this year.
