And those increases came in advance of spikes in the price of oil and natural gas last week tied to the Trump administration\u2019s attack on Iran, suggesting further volatility. State officials, citing affordability concerns, last\u00a0week indicated they are examining certain climate-law rollbacks to address rising customer costs, irking environmental groups who cite the urgency of addressing climate change consequences.<\/p>\n
Meanwhile, a less visible impact on customer bills is detailed in a state report released in the fall that shows how climate-mitigating measures by the state and utilities have been impacting, and will continue to impact, customer bills for years to come.<\/p>\n
WHAT NEWSDAY FOUNDAs power supply charges on electric bills continue to trend upward, recent figures from the state show climate-related mandates also\u00a0have been adding hundreds of dollars to customer bills each yearFor instance, Long Island electric customers in 2024 paid more than $9.65 a month in charges tied to the state\u2019s climate law. That figure is projected to rise to $11.92 this year and\u00a0$16.43 by 2029 for average residential customers.State officials, citing affordability concerns,\u00a0last\u00a0week indicated they are examining certain climate-law rollbacks to address rising customer costs, irking environmental groups who cite the urgency of climate change.<\/p>\n
In 2024, for instance, Long Island electric customers paid more than $9.65 a month in charges tied to the state\u2019s climate law, making up about\u00a06.4% of their bill, according to state figures. That\u2019s a jump from the $7.57 a month customers paid in 2023 for climate-related mandates imposed by the 2019 climate law.<\/p>\n
Proponents of the measures say they will ultimately reduce customer costs by stabilizing the cost of energy, which is now subject to big geopolitical swings, and they will help prevent climate disasters that could cost billions. But even those who support the measures say the state has done a poor job of detailing the cost of climate-law measures for everyday customers, and that unknowns, such as recent rollbacks of fossil-fuel power plant retirements, could saddle customers with even higher bills.<\/p>\n
“We\u2019re very worried because we believe we\u2019re in the middle of an energy affordably crisis right now in New York State,” said Bill Ferris, New York legislative representative for AARP. “Exacerbating that is that we don\u2019t know the cost to implement the Climate Act. We do know it\u2019s gone up over past three years by over $350 million.”<\/p>\n
The state Department of Public Service, which compiled the report<\/a>, stressed that while it seeks to identify costs tied to the state Climate Leadership and Community Protection Act of 2019, many of the measures and costs cited in the report\u00a0predate passage of the law, and some have been paid by customers for years. They\u00a0include projects such as the South Fork Wind Farm, operating since 2024, at an estimated cost of around $1.58\u00a0a month for average residential customers, LIPA has said.\u00a0<\/p>\n The climate law “does not specify how to achieve its goals, therefore, it is very difficult to distinguish programs and projects that are consistent with the goals of the [climate law]\u00a0from those that have been initiated or expanded because” of the law, DPS spokeswoman Kim Mashke said in an email. She said even\u00a0though some investments predate the 2019 climate law, “they all support achievement of the CLCPA\u2019s targets and objectives.”<\/p>\n And the costs will continue to increase.<\/p>\n State estimates show the figure increasing steadily, rising to an estimated $11.25 a month\u00a0last year and to a projected $11.92 this year, according to state calculations. By 2029, the mandates will add $16.43 to average residential customer bills, according to the DPS filing<\/a>.<\/p>\n Those figures are for residential customers who use 600 kilowatt-hours. But average LIPA customers actually use more \u2014 upward\u00a0of 725 kilowatt-hours a month, according to LIPA’s 2026 budget \u2014\u00a0so the impacts on customers are even higher.<\/p>\n For 2026, a user of 725 kilowatt-hours will likely see a bill increase of $14.40 tied to all climate-related charges. By 2029, that figure will jump to\u00a0$19.85, according to a Newsday extrapolation of the charges from the DPS report.<\/p>\n And state projections\u00a0for the climate-law mandates do not include for LIPA\/PSEG customers the cost of two under-construction wind farms<\/a> that are projected to come on line by 2028. Those charges of $3.54 a month will be paid by all other state ratepayers, but not\u00a0LIPA as yet. But LIPA\u00a0can sign on to the program voluntarily and is expected to do so, which could push the total monthly charge to more than\u00a0$24 a month by 2029.<\/p>\n The DPS figures do include\u00a0costs associated with Propel NY Energy<\/a>, a $3.26 billion high-voltage cable project originally designed to bring offshore wind power to landing points in the Bronx and Westchester. According to DPS, Propel in 2025 “started to incur construction costs that are recoverable, prior to its full completion, through a construction work-in-progress incentive.”<\/p>\n In addition, DPS said,\u00a0capital and expense-related costs for Propel will be recoverable “as segments are energized” in the future. All state ratepayers are sharing those\u00a0costs, including LIPA ratepayers, DPS said, “as the project will provide statewide benefit to the interconnected grid.”<\/p>\n By 2029, according to the report, average LIPA residential customers will be paying $3.06 a month for climate-related transmission upgrades, including Propel, which has said the cost to residential customers would average $2 a month.\u00a0<\/p>\n Propel awaits key state and federal approvals and has been the subject of opposition by residents of Glen Head and surrounding areas, while state and environmental advocates who support it say Propel will open up power bottlenecks and let power move more easily between upstate and downstate.\u00a0\u00a0<\/p>\n Two other potential costs\u00a0that remain unclear are potential plans\u00a0to upgrade\u00a0or replace certain vital fossil-fuel plants<\/a> across the state\u00a0and Long Island, now that Gov. Kathy Hochul has ordered a halt of planned plant retirements.\u00a0<\/p>\n
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