Brown elected Congressman Ritchie Torres released a report indicating that Con Edison, serving certain areas of New York City, charges natural gas delivery fees nearly 100% higher than its competitor, National Grid. Torres has called on the New York State Public Service Commission to conduct an investigation.
Torres’s office analyzed the natural gas bills for multi-unit residential properties in the past year and this year, finding that prices have increased in areas served by Con Edison in the Bronx, Manhattan, and Queens. The average delivery fee per thermal unit of natural gas is $1.29 in the Bronx, $1.01 in Manhattan, and 92 cents in Queens, while National Grid charges 54 cents per thermal unit in Brooklyn, 45 cents in Queens, and 54 cents in the Bronx. Torres has urged the New York State Public Service Commission, responsible for overseeing utilities such as natural gas, electricity, and water, to investigate why there is such a significant disparity in fees between the two providers. He stated that companies are abusing their monopoly power to overcharge the public, exacerbating inflation, and both the governor and the Public Service Commission have a responsibility to take swift action to prevent exploitation and protect the public.
According to a report by Pix11 News, Jamie McShane, a spokesperson for Con Edison, responded with a statement saying that energy delivery rates for various utility companies can differ for various reasons, including service levels, customer demand, regional variances, and the timing of new rates. As the company transitions from fossil fuels to clean energy, they invest around $1 billion annually to ensure the safety of the natural gas system, replacing 80 miles of pipelines each year, conducting monthly leak inspections, and installing leak detectors for customers. He also mentioned that natural gas rates are set by the Public Service Commission, not by Con Edison.
Meanwhile, on August 15th, the Public Service Commission approved National Grid’s three-year natural gas rate hike plan, which will increase the average monthly natural gas costs for residential households by $33 starting in September of this year.