Ulster County Executive Pat Ryan is calling for an investigation into Central Hudson’s price surge and billing practices.
In a statement Thursday, the Democrat says he has submitted a letter to the New York State Public Service Commission. He says he has heard complaints from residents about not receiving bills for months, extremely over-estimated bills, and large automatic withdrawals from consumer accounts without notice.
Once it receives the letter, the Public Service Commission is required to open a formal investigation.
New York State Senator Michelle Hinchey, a fellow Democrat from the 46th district, has also raised questions about Central Hudson’s practices.
The PSC directed utilities to do a SAR billing every month. But unfortunately, what central Hudson and utility companies have done is they still check the meter every other month and the month that they don't check the meter, there's an estimated billing that they send you," she told WAMC News. "And what we're seeing across communities that I represent, especially here in Kingston, but we're seeing it across the state is that these estimations are incredibly high."
Central Hudson responded to the letter calling for the investigation in a statement provided to WAMC News:
On the recent energy supply increase: The recent increases in the prices for energy and other goods have created a financial burden for all New Yorkers. Central Hudson is committed to doing all we can to help our customers manage their energy costs during these difficult and unusual times.
Market prices for electricity and natural gas have risen sharply due in part to colder weather, higher usage, constrained domestic pipeline capacity, a recovering economy and increased energy demand nationally and globally. These higher costs are experienced on an international scale.
Outreach to customers, elected officials and community leaders began last fall regarding the potential for winter energy cost increases as projected by the U.S. Department of Energy and Central Hudson provided customers with information on how to conserve energy during winter weather.
To assist customers affected by higher usage and energy prices, Central Hudson is offering no-cost and interest-free extended payment options to pay off balances over time, and connecting income eligible customers to financial assistance programs. Since March 2020, Central Hudson has continued to waive late fees and is not suspending utility services at this time.
On Billing Issues, Central Hudson retired and replaced its nearly 40-year-old legacy customer information system to better accommodate the increasing energy choices that customers have for energy supply. Since this transition, a subset of Central Hudson’s customers have experienced issues receiving bills in a timely manner. The majority of customers experiencing billing issues are those who are enrolled in complex energy choice options like rooftop solar installations, community solar farms and other third-party energy suppliers. The company has deployed a team comprised of employees and software consultants to identify and implement software fixes. We anticipate the majority of the billing issues will be resolved this spring.
On the storm, Central Hudson amassed the largest mutual aid support in the company’s 122-year history, and was recognized by New York State and Ulster County for the utility’s effective storm response.
