State Regulators Approve National Grid Rate Increase, Bills to Rise $50 Per Month

Households across New York should prepare for higher utility costs. The state Public Service Commission (PSC) has unanimously approved National Grid’s request to raise electric and gas rates over the next three years, leading to significant increases in customer bills.

Starting in September, the average family that uses both gas and electricity will see their bill jump by about $22 each month. Homes that depend solely on electricity will see a smaller bump, closer to $14. By the third year of the plan, the typical household will be paying roughly $50 more per month or around $600 extra per year.

National Grid says the added revenue is needed to manage inflation-related expenses, expand discounts for low-income customers, and invest in much-needed infrastructure upgrades.

“What we’re looking at is the investments in these systems that will make them more resilient and hardened against extreme weather to reduce outages, but also make sure that we can keep up with demand,” said Jared Paventi, a spokesperson for the utility.

In announcing the decision, the PSC stressed that the final rate increase was lower than what the company had originally asked for.

“The adopted joint proposal meets the legal requirement that the company continue to provide safe and adequate service at just and reasonable rates,” said Commission Chair Rory Christian. “The three-year rate plan is in the public interest. It is a forward-looking plan that benefits customers and includes provisions that further important state and Commission objectives, while keeping customer affordability first and foremost in mind.”

Governor Kathy Hochul, however, voiced her opposition.

“While I appreciate that the New York Public Service Commission worked to significantly lower the outrageously high initial rate proposals, it’s still not enough,” Hochul said in a prepared statement. “I have been crystal clear that utilities must make ratepayer affordability the priority. Since taking office, my administration has prioritized energy affordability, particularly for our most vulnerable, and we need the utilities to take it seriously as well. That means at a time when worried New Yorkers are being forced to tighten their budgets, all utilities must follow suit. This is no time for bonuses and big raises for executives, especially if they are going to be looking to raise rates on their customers.”

Paventi acknowledged the frustration but defended the company’s approach.

“What rate proposals become are a balance. We balance the affordability against the reliability. There are things we have to do to make sure that every time you or our customers flip a light switch, the lights turn on,” he said.

For customers struggling with affordability, Paventi encouraged them to contact National Grid directly at 1-800-642-4272 for assistance.

State Regulators Approve National Grid Rate Increase, Bills to Rise $50 Per Month