Utilities prepared to meet demand for electricity, natural gas during winter
ALBANY, N.Y. » The New York State Public Service Commission (Commission) recently announced it expects the state’s utilities will have adequate supplies of natural gas and electricity on hand to meet the demands of residential and commercial customers in New York State.
“We will continue to closely monitor the utilities serving New York State to make sure they have adequate sources and supplies of electricity and natural gas to meet expected customer demands this winter,” Commission Chair Rory M. Christian said. “The utilities have hedged approximately 70 percent of their estimated statewide full service electric residential energy needs to protect against unexpected electric market price swings that could occur this winter.”
Customer Outreach:
The Department of Public Service has a proactive program in place to ensure that customers receive the information and assistance they need. The outreach and education efforts include publications in multiple languages about billing and payment options, financial assistance programs and winter preparedness measures to help with winter bills, and the steps to take if customers are faced with heating-related energy emergencies. Throughout the winter season, staff will monitor issues that could potentially affect the utilities’ operations and their customers, such as weather and heating degree day data; alternate fuel and storage inventory management; and interstate pipeline operational issues.
Electric and Natural Gas Price Forecast:
This winter’s electricity prices statewide are projected to be higher than last winter, although commodity prices can vary significantly due to weather and other conditions. While gas bill impacts will vary by utility, natural gas bills, in general, are also projected to be higher than last year; nationwide, commodity price forecasts are higher this year compared to last winter. On average, a residential customer using 600 kWh per month is expected to pay about $43 per month for supply, but the actual amount varies by utility. Meanwhile, the average residential customer using 740 therms of natural gas can expect to pay about $935 from Nov. through March, up from last winter which was milder than normal (this amount will vary by utility and weather). A colder-thannormal winter will cause usage and bills to increase. The State’s investor-owned utilities have continued to reduce the volatility of electric and gas supply prices to their full-service residential customers. Between financial hedges and gas held in storage, gas utilities have hedged approximately 53 percent of their estimated statewide customer needs. Winter Heating Preparedness: Electric System Preparedness: There is sufficient capacity to meet electric demand for the winter. As part of the winter assessment, the major electric generating facility owners in Southeast New York who own about 12,000 MW of dualfuel generation capability were contacted. Staff found that these owners are continuing to implement lessons learned from the Polar Vortex winter of 2013-2014, including having increased pre-winter on-site fuel reserves, having firm contracts with fuel oil suppliers, conducting more aggressive replenishment plans, and having more proactive pre-winter maintenance and facilities preparations.
Home Heating Assistance: On Sept. 30, 2021, Gov. Kathy Hochul announced that more than $373 million in home heating aid will be available for low- and middle-income New Yorkers who need assistance keeping their homes warm during the upcoming winter season. Applications opened Friday, Oct. 1, for the Home Energy Assistance Program, also known as HEAP, which is overseen by the state Office of Temporary and Disability Assistance and provides federal funding to assist homeowners and renters with their heat