New York Utility Restructuring Legislation
Legislation Cite and Date
CASE 94-E-0952: 01/01
PSC Order 98-3 1998
Low-Income Provisions
New York Public Service Commission (PSC) orders have created and continued a broad-based, multi-utility system benefits fund for electric efficiency, including low-income programs. Rate assistance programs have been designed and implemented on a utility-by-utility basis as part of individual utility restructuring settlements or merger/rate case settlements.
Low-Income Rate Assistance
As of 2008, restructuring plans and merger or rate case settlements filed by the major electric and gas companies include about $55 million annually for low-income rate assistance programs. All of the regulated utilities have some form of rate assistance, mostly consisting of discounts off the basic monthly service charge for electricity and/or gas, funded through utility rates and administered by the utilities. Some of these programs offer arrearage forgiveness and case management as well.
Low-Income Conservation
As a result of a 1998 order by the PSC, most low-income energy efficiency programs have been funded through a systems benefits charge (SBC) on electricity bills and administered by the New York State Energy Research and Development Authority (NYSERDA). The programs are now in their third funding cycle, which runs from July 1, 2006 through June 30, 2011 with a funding level of $175 million annually. Utilities collect the SBC revenues from electric customers of six regulated utilities and transfer the funds to NYSERDA. In 2008 NYSERDA spent $41.3 million on SBC-funded low income programs, including about $10 million for EmPower New York. Gas utility low-income investment totaled $21.8 million and about $13 million of this was administered through NYSERDA on behalf of the utilities.
Annual Funding (2008)
Rate Assistance: $55 million
Conservation: $41.3 million (electric utilities); $21.8 million (gas utilities)
Funding Mechanism
Rate assistance: Costs recovered through rates.
Conservation: System benefits charge (electric utilities)
Administration
Rate assistance: Utilities
Conservation (SBC programs): New York State Research and Development Authority
Pre-Restructuring Funding
Rate Assistance: $5 million (estimate)
Conservation: $2 million (estimate)
Reports / Evaluations
New York Energy $martSM Program, (all reports)
Page Last Updated: September 24, 2009
