Public can comment on proposed Con Ed rate hike

In response to Con Edison’s recent proposal to hike the electric rates for its customers, the New York State Public Service Commission (PSC), which regulates the utility, is now accepting comments from the public about the plan. This input will help the PSC decide on whether to approve, reject or modify the utility’s plan.
Con Ed is proposing rate hikes that would take effect over three consecutive years starting in April 2009. If all three increases are approved, by the end of the three-year period consumers’ monthly bills would go up by about 18 percent, said Chris Olert, a spokesperson for the utility giant.
According to Con Ed, the hike proposed for the first year is $819 million, or about 10 percent per month. During the second year, a hike of $474 million, or four percent per month, would be added to that. In addition to these two hikes, another four-percent-per-month increase would be introduced during the third year.
Con Ed is also proposing an alternative plan for the same three-year time frame. Under that plan, the total amount of the increase at the end of the period would be about the same, but the hikes introduced each year would be leveled, amounting to $556.7 million per year according to the PSC.
The main reasons for the proposed increases are Con Ed’s expanded infrastructure, higher property taxes and bigger operating costs, Olert explained.
Still, Con Ed’s proposals have some local elected officials seething at the utility giant as well as the PSC.
“As long as the Public Service Commission aids and abets Con Edison’s game, the people of New York will continue to suffer higher rates and substandard service,” said Assemblymember Michael Gianaris.
“It’s time to put the ‘public’ back in the Public Service Commission,” Gianaris added. “The [Commission] must demand real reforms of Con Edison now, before a single dollar in higher rates is granted.”
The deadline for providing feedback on the plans is January 25, 2009.
The PSC’s official internet website, www.dps.state.ny.us, contains additional information about the proposed hike. The public can send its feedback to the PSC online, at website above or by calling 1-800-335-2120.
People can also mail their comments to Jaclyn Brilling, Secretary, Public Service Commission, Three Empire State Plaza, Albany, NY 12223-1350. The comments should refer to Case 08-E-0539 – Consolidated Edison Company of New York, Inc. - Electric Rates.