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Last updated on April 18, 2014 at 1:21 EDT

AARP New York Urges Public Service Commission to Scrutinize Con Ed’s $400 Million “Sandy” Rate Hike

February 4, 2013

Assoc. Says NY Consumers Should Be Protected from Automatically Footing the Bill from Storm Costs

Statement by Beth Finkel, State Director for AARP in New York State

NEW YORK, Feb. 4, 2013 /PRNewswire-USNewswire/ — Hurricane Sandy has come and gone, but New York utility companies are only just beginning to figure out how to pay for any damage and upgrades. With the recently filed $400 million rate hike proposal by Con Edison, one thing is clear: they are looking to New York consumers to foot the bill.

AARP is urging the New York State Public Service Commission (PSC) to thoroughly examine this rate case to ensure storm costs are not automatically passed on to New York consumers, with the utility bearing no liability.

New Yorkers already pay some of the highest utility rates in the nation, and a new AARP report found that older natural gas consumers in the region can expect to pay roughly 20% more this year (http://bit.ly/VA85sE). Older consumers on limited incomes are hit the hardest as they dedicate a much higher percentage of their household income to paying their utility bills.

For the sake of New York consumers buckling under soaring utility rates, the PSC must also take a hard look at Con Edison’s programs that aim to help residential ratepayers afford their utility bills. As reported by AARP in 2011 (The Quiet Blackout: http://bit.ly/W7ig8b), Con Edison terminated service to 93,469 residential rate payers for non-payment – roughly 256 people a day every day. During the winter months, the utility company terminated service to 23,867 people, with the majority of those terminations hitting in January.

80% of state residents surveyed by AARP last year stated they were concerned about their heating and cooling bills going up. In another AARP survey of the Greater New York area’s 50+, 86.4% reported losing power due to Sandy and 44% rated their electric utility’s response poorly (AARP New York Sandy Survey: http://bit.ly/WYlQ3T).

Sandy’s toll on New Yorkers was high, and the last thing many need right now is escalating utility bills, especially those individuals on fixed incomes or facing tough economic times. The PSC must ensure consumers do not bear the full brunt of storm-related costs and protect vulnerable ratepayers’ ability to keep their lights and heat on.

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AARP is a nonprofit, nonpartisan organization with a membership that helps people 50+ have independence, choice and control in ways that are beneficial and affordable to them and society as a whole. AARP does not endorse candidates for public office or make contributions to either political campaigns or candidates. We produce AARP The Magazine, the definitive voice for 50+ Americans and the world’s largest-circulation magazine with over 35.1 million readers; AARP Bulletin, the go-to news source for AARP’s millions of members and Americans 50+; AARP VIVA, the only bilingual U.S. publication dedicated exclusively to the 50+ Hispanic community; and our website, AARP.org. AARP Foundation is an affiliated charity that provides security, protection, and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. We have staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.

SOURCE AARP New York State


Source: PR Newswire