Power costs could climb
National Grid’s request to raise electric, gas rates met with support, opposition
An array of community development and environmental groups on Wednesday lined up for and against National Grid’s request for a 4 percent electric and 6 percent gas rate increase that, if approved, would start next July.
Chamber of commerce and business development groups as well as human service agencies spoke in favor of the plan, noting that the utility has long been generous with grants and other assistance and they support their efforts to upgrade their infrastructure.
“National Grid has been an incredible community partner,” said Anthony Baynes Jr., president and CEO of the Amherst Chamber of Commerce in western New York.
On the other side were environmental groups who said the increase would help fund National Grid’s plans for more natural gas pipelines, which they view as the wrong approach in the era of climate change.
“We see them pushing expensive gas infrastructure projects to hook up more people to gas,” said Jessica Azulay, executive director of the Alliance for a Green Economy.
Wednesday’s online public statement hearing, in which there was no questioning, was one of several such
events being put on this week by the state Public Service Commission, which will decide on the rate hike request.
In addition to business developers and environmentalists, others said the rate hikes would impose a special hardship on low-income customers, especially since many are unemployed or under-employed due to the COVID -19 pandemic.
“This is really not the time for a rate hike,” said Jeanette Rice, a Rensselaer County resident who also opposes the use of more natural gas.
The company noted that in July they proposed a $50 million COVID -19 relief plan to help customers impacted by the pandemic. The plan, updated on Tuesday, includes up to $25 million for low-income customers enrolled in the Energy Assistance Program with immediate bill credits and help with making payments that are in arrears.
They also plan to offer up to $20 million in arrears incentive payments for business customers and up to $5 million for new COVID -19 recovery assistance grants for commercial, industrial and small business customers.
National Grid’s current threeyear rate agreement expires March 31, 2021.
Under the proposed rate increase, residential electricity customers would see an average bill increase of 4 percent, or $3.43 per month. Residential gas customers would see an average bill increase of 6 percent, or $4.53 per month.
The company originally planned to file its request for new rates in April but delayed that filing until July 31 due to COVID -19.
The increases would reflect the transmission and delivery costs, not the actual energy, which is produced by a variety of separate generation companies that feed into the state’s energy grid.