New York's Electric Rates Soar to 2nd Highest in Nation

With State's Residential Consumers Bearing the Brunt of the High Costs, AARP Calls for Game-Changing Legislation

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Feb 18, 2015, 01:16 ET

NEW YORK, Feb. 18, 2015 /PRNewswire-USNewswire/ -- About the only thing New York has in common with Hawaii this time of the year are some of the nation's highest electric rates. The Empire State has snagged the none-too-brag-worthy spot of having among highest electric rates in the nation, second only to the Aloha State. New York previously had the fourth highest rates.

Average Retail Price of Electricity to Ultimate Customers in New York

New York residential consumers continually pay the highest rates (20.13¢ per kWh), 24% higher than commercial class rate payers (16.22¢ per kWh) and a whopping 208% higher than industrial class rate payers (6.53¢ per kWh), as of November, the last month data is available from the U.S. Energy Information Administration.

Those cents add up to one thing; New Yorkers struggling to afford their utility bills, with nearly 70% of the state's 50+ say they are worried about their ability to pay (pg. 21). AARP says the combination of New York's high rates and the imbalance between who bears the brunt of them are one more reason to change the utility game in New York State.

"When it comes to utility rates, New York continues to have a golden rule: those with the gold make the rules. It's time to do something about it," said Beth Finkel, State Director for AARP in New York State. "In this case, utility companies and other rate classes have the money to pay to be at the table, hiring experts and making their best case, while residential consumers get left out in the cold. Their high rates don't lie. New York needs a level playing field, and is one of the only states in the nation without one."

AARP is urging New York to become the 41^st state to establish an independent utility consumer advocate office with the power to challenge unfair rate hikes in court. The 40 other states with utility consumer advocate offices save their residents billions of dollars a year.

Legislation to establish an utility consumer advocate office to represent residential consumers when utility companies propose rate hikes before the Public Service Commission has been introduced by Senator Diane Savino (D- State Island), Senate Bill 3356 & Assemblyman Jeffery Dinowitz ( D- Bronx), Assembly Bill A180.

AARP is a nonprofit, nonpartisan organization, with a membership of more than 37 million, that helps people turn their goals and dreams into real possibilities, strengthens communities and fights for the issues that matter most to families such as healthcare, employment and income security, retirement planning, affordable utilities and protection from financial abuse. We advocate for individuals in the marketplace by selecting products and services of high quality and value to carry the AARP name as well as help our members obtain discounts on a wide range of products, travel, and services. A trusted source for lifestyle tips, news and educational information, AARP produces AARP The Magazine, the world's largest circulation magazine; AARP Bulletin; www.aarp.org; AARP TV & Radio; AARP Books; and AARP en Español, a Spanish-language website addressing the interests and needs of Hispanics. AARP does not endorse candidates for public office or make contributions to political campaigns or candidates. AARP Foundation is an affiliated charity of AARP that is working to win back opportunity for struggling Americans 50+ by being a force for change on the most serious issues they face today: housing, hunger, income and isolation. AARP has staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. Learn more at www.aarp.org.

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SOURCE AARP New York