New Data: Central Hudson Charging Families $20 More Per Month For the Same Heat - With Another Hike Expected!

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KINGSTON, NY (01/30/2025) (readMedia)-- A new analysis shows that Central Hudson is charging its customers dramatically more for the same heat, costing the average household nearly $20 more per month on their energy bills since 2022 - with the company expected to AGAIN raise rates next year. The data comes as the Assembly considers legislation to address New York's affordability crisis, including the NY HEAT Act, which would lower energy bills and curb future rate hikes affecting families across the state. In the Hudson Valley, the NY HEAT Act would save the 25% of all households that struggle to afford their energy bills an average of $164 each month - cutting their bills in half. The bill would also avoid major gas pipeline expansion costs which lead to rate hikes on all customers.

"Utilities across the state keep raising rates on working families, in great part due to outdated laws that mandate funding expensive gas pipelines. Without real action from lawmakers, families will be forced to spend their inflation reduction checks from the Governor just to cover one month of rising heating bills. It's time for the Assembly to get serious and pass the NY HEAT Act, which will curb future rate hikes and save the families who need it most up to $136 on their bills every single month," said Jessica Azulay, Executive Director of Alliance for a Green Economy.

The analysis, which uses publicly available data from the Public Service Commission website, was conducted by the Alliance for a Green Economy (AGREE) and focuses on the rising cost of gas heating bills across New York State. According to the analysis, the average cost of heating for Central Hudson customers has increased from $138 in 2022 to over $157 in 2025 - costing the average household hundreds more every year for the same energy. The company is expected to receive approval for another rate increase next year, which if approved would cost families even more!

In December, Governor Hochul announced a plan to send $300 checks for every New York family earning under $150,000/year. It's a start, but without the NY HEAT Act, the majority of families will end up using that money just to keep up with their heating bill increases. If the Assembly wants to really address the energy affordability crisis, they must take real action and protect New Yorkers from continuous rate hikes by Central Hudson and other utilities.

As of September 2024, approximately 1 in 7 households in New York was two months or more behind on their energy bills. This crisis is impacting more than 1.2 million families, who are collectively in debt more than $1.3 billion dollars to utilities.

Background

The Home Energy Affordable Transition Act, also known as the NY HEAT Act, will reduce the expansion of New York's outdated and dangerous fracked gas system and save the 1 in 4 New Yorkers who struggle to pay their energy bills an average of $136 every month. The bill modernizes archaic state laws that force New Yorkers to pay hundreds of millions of dollars each year to subsidize new fracked gas hookups and pipelines. It would limit households' energy burdens and would allow utilities to provide cheaper and clean heating alternatives at no additional cost to customers – a win-win for New Yorkers and the environment.

The NY HEAT Act will also free New Yorkers from the gas mandate (also known as "the utility obligation to serve gas"), an antiquated state law that locks utilities, and consequently the vast majority of New Yorkers, into the dirty, expensive, aging gas system for heat. Because of the gas mandate, one home that wants to stay on the gas system can be the deciding factor for an entire neighborhood that would otherwise have the opportunity to receive cheaper, cleaner heating alternatives from their utility. The NY HEAT Act would require utilities to provide easy access to the most affordable and healthier heating options for their families.

By curbing expansion of the fracked gas system, the NY HEAT Act will also curb the utility rate hikes slamming New Yorkers across the state:

• After National Grid's latest 36% rate hike that began in September 2024, NYC and Long Island customers heating their homes with gas will pay more than $60 more per month on average by April 2026.
• As of this month, the average ConEd gas and electric customer will pay over $50 more per month.
• By the end of 2026, NYSEG customers in the Southern Tier will be forced to pay up to $40 more every month for gas and electricity than they did in 2023, and RG&E customers will see an average total monthly bill increase of $30.16.
• After hiking rates in July 2024 with the average Central Hudson customer paying an extra $20 every month for gas and electric bills, CenHud is now seeking ANOTHER rate hike that would raise the average bill another $18.
• In December 2024, Governor Hochul's Public Service Commission approved National Fuel Gas's rate hike, increasing bills by $17, with average gas bills nearing $100.
• If O&R's proposal is approved by the State, Rockland County gas and electric customers will see an increase of 10% on their bills.

Pro-climate legislation that saves New Yorkers money is popular: 67% of Democrats, 47% of Republicans, and 55% of independents agreed the NY HEAT Act should have passed last session. The bill was also popular with 60% of upstate voters, 55% of union households, and across income groups. 74% of Black voters and 70% of Latino voters also wanted it to pass.

State action against climate change is crucial as Trump takes office and vows to go all-in on fossil fuels. 2024 was the hottest year on record, and New Yorkers experienced wildfires, flooding, and tornadoes. The NY HEAT Act will help New York fight climate change and it will protect New Yorkers from an unpredictable Trump administration by helping to stabilize heat and energy prices.