Federal Energy Regulatory Commission's Actions Hurting Hudson Valley Ratepayers

ALBANY, NY – New York State Senators Terry Gipson (D-Dutchess, Putnam), George Latimer (D-Rye) and Cecilia Tkaczyk (D-Duanesburg) today urged Governor Cuomo to issue an executive order to protect Hudson Valley families and businesses from increased energy costs. The senators asked that the Governor direct the state’s Public Service Commission (PSC) to use funds from the System Benefits Charge (SBC) to mitigate the rate increase from the federally mandated energy capacity zone.

Senator Terry Gipson said, “The federal government continues to appear steadfast in their unfortunate plan to increase electric rates for the Hudson Valley in order to better service New York City and Long Island. Adding insult to injury is FERC’s refusal to even respond to the Hudson Valley families and businesses whose hard-earned dollars they are taking. We are now asking Governor Cuomo and New York State to continue to fight alongside Hudson Valley residents and take the necessary steps to help mitigate the harsh impact the capacity zone's rate increases will have on families and our local economy. The System Benefits Charge was established to fund public policy initiatives that could not be adequately addressed directly by New York State's electricity markets. This funding would directly address the electricity market’s failure to provide adequate service without punishing our community.”

Senator George Latimer said, “Senator Gipson is showing, once again, his leadership for Hudson Valley taxpayers, and I fully support this initiative.”

Senator Cecilia Tkaczyk said, "This plan to increase rates will hurt the families and businesses of the Hudson Valley, while providing them no additional benefits. We need to investigate opportunities to reduce or eliminate the negative impact of the federal government's actions."

Due to the Federal Energy Regulatory Commission’s (FERC) new capacity zone, Hudson Valley residential and business energy consumers may see significant rate increases on their electric bills. Hardworking families, seniors and Hudson Valley residents on fixed incomes will have less money to invest in the local economy, and regional businesses will have less capital to grow and create jobs.

The Senators noted that by issuing an executive order to use state funds from the SBC, Governor Cuomo would be able to save Hudson Valley ratepayers from substantial rate increases.