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State and federal leaders are voicing strong opposition to a tentative agreement between Central Hudson Gas & Electric Corporation and regulators that would increase gas and electric rates for customers over three years. The deal, if approved by the Public Service Commission (PSC), would raise electric bills by 3.12% in the first year, 3.4% in the second, and 3.7% in the third. Gas bills would see hikes of 5.19%, 7.2%, and 7.37% over the same period.
Many officials, including Congressman Josh Riley and State Senator Michelle Hinchey, have criticized the proposal, describing it as prioritizing corporate profits over the needs of struggling ratepayers. Riley called the plan "absurd," while Hinchey emphasized that constant rate hikes are unsustainable. State lawmakers, such as Assemblymember Sarahana Shrestha, argue that the deal benefits shareholders at the expense of customers, and are advocating for income-based billing caps.
The proposal has also reignited discussions about creating a publicly-owned utility in the region. The Hudson Valley Power Authority Act, introduced by Senator Hinchey and Assemblymember Shrestha, proposes acquiring Central Hudson and operating it as a public corporation. This move aims to address ongoing affordability concerns and provide a sustainable energy solution for the region.
The PSC is expected to make a decision on the rate hike proposal in the fall. Meanwhile, public discussions and hearings are being organized to gather community feedback on the proposed changes.