Wedoany.com Report on Jan 31st, The New York State Public Service Commission recently approved a rate adjustment plan for Consolidated Edison's natural gas and electricity services. This plan will be implemented gradually over the next three years, aiming to balance energy supply needs with consumer affordability.
According to published data, the typical residential user's electricity bill will increase by 3.9% in 2026, 3.3% in 2027, and 3.2% in 2028. The average bill for users heating with natural gas will rise by 2.4%, 7.8%, and 5.6% respectively during the same period. This rate adjustment plan is nearly 87% lower than the double-digit increase originally proposed by Consolidated Edison. The adjusted rate level is roughly equivalent to the inflation rate.
The Public Service Commission stated that this joint proposal, put forward by multiple parties, is expected to generate over $150 million in efficiency savings while supporting energy affordability programs and protections for vulnerable customers. Commission Chair Rory M. Christian noted, "The adopted joint proposal meets the legal requirement that the company continues to provide safe and adequate service at just and reasonable rates." He added that this "forward-looking plan" serves the public interest while advancing state goals.
Previously, Consolidated Edison had proposed average increases of 11.4% for electricity and 13.3% for gas, but this was opposed by Governor Kathy Hochul and numerous elected officials. Over 70 officials had jointly urged the Public Service Commission to reject the rate hike proposal. City Council Member Phil Wong stated on social media, "New Yorkers are being crushed by the cost of bad energy policies that have made electricity scarcer and more expensive. Enough is enough."
The state government indicated it would help low- and middle-income families with energy improvements by investing an additional $50 million in the EmPower+ program. New York City acknowledged the achievement of the proposal in a statement, noting that infrastructure needs, economic conditions, and load growth made maintaining current rates no longer feasible. Groups such as the Environmental Defense Fund believe the plan strikes an appropriate balance between controlling rate increases and advancing clean energy initiatives.
Consolidated Edison responded that the investment plan, formed after 11 months of negotiations, ensures the resilience and reliability of the energy system while also considering customer affordability. The approved natural gas and electricity rate adjustment plan is retroactive and officially took effect on January 1, 2026.
