The New York State Public Service Commission has approved a joint proposal that sets new three-year electric and gas rate plans for Central Hudson Gas & Electric Corporation. The agreement, reached with the company, Department of Public Service staff, Multiple Intervenors, and Walmart, will lower Central Hudson’s original request for electric delivery revenues by more than $17.5 million—a 37 percent reduction—and gas delivery revenues by nearly $800,000—a 5 percent decrease—in the first year.
The proposal was not signed but also not opposed by several parties including the Public Utilities Law Project (PULP), the Utility Intervention Unit of the Department of State, Dutchess County, and the Town of Olive Conservation Advisory Council.
Under the adopted plan, electric revenue requirements will increase by $29.7 million in the first year (a 5.5 percent delivery and 2.9 percent total revenue increase), $31.6 million in the second year (a 5.3 percent delivery and 2.9 percent total revenue increase), and $34.5 million in the third year (a 5.3 percent delivery and a 3 percent total revenue increase). Gas delivery revenue requirements will rise by $14.5 million in year one (an 8.8 percent delivery and a 5.4 percent total revenue increase), $15.9 million in year two (an 8.7 percent delivery and a 5.6 percent total revenue increase), and $17.5 million in year three (a 9 percent delivery and a 5.8 percent total revenue increase). The new rates took effect July 1, 2025.
Commission Chair Rory M. Christian stated: “The adopted joint proposal meets the legal requirements that the company continue to provide safe and adequate service at just and reasonable rates,” adding: “The three-year rate plan is in the public interest. The forward-looking plan we have adopted benefits customers and includes provisions that further important state and Commission objectives, while keeping customer affordability first and foremost in mind.”
Governor Kathy Hochul directed state officials to review Central Hudson’s initial rate request with an emphasis on affordability after determining it was too high for consumers to bear under current conditions.
Department of Public Service staff evaluated about 200 public comments during this process as well as input from three public hearings along with other procedural meetings before reaching this settlement.
Central Hudson serves approximately 315,000 electric customers and 90,000 gas customers across New York’s Mid-Hudson Valley region.
Originally, Central Hudson had requested an electric base delivery revenue hike of $47.2 million—an increase of about 8.8%—and a gas base delivery hike of $15.3 million—about a 9.4% jump—for the period ending June 30, 2026.
With this agreement now set through June 30, 2028:
– Average residential electricity bills are expected to rise by roughly 3–3½% each year.
– Average residential gas bills are projected to climb between about 5–7% annually over three years.
Provisions included require increased outreach efforts so more eligible households can enroll in New York’s Energy Affordability Program—which provides bill discounts—and support capital investments aimed at system safety and reliability as well as progress toward state climate goals.
Full details on today’s decision can be found on www.dps.ny.gov using case numbers 24-E-0461 or 24-G-0462.
