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PSC announces potential extreme heat protections for consumers

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Thu, Jan 23rd 2025 12:25 pm

Uniform protections for customers of major electric utilities and major water companies considered for extreme heat events

Public Service Commission Press Release

The New York State Public Service Commission today instituted a proceeding to examine procedures and programs regarding customer protections during extreme heat events at all major New York electric utilities and major private water utilities. The purpose of the proceeding is to establish a comprehensive statewide policy regarding extreme heat customer protections for electric and larger water utilities.

“Protecting consumers is a top priority for the commission,” Chair Rory M. Christian said. “The primary purpose of this proceeding will be to assess the adequacy of the existing protections for major electric and major water utility customers during extreme heat events in view of policy objectives and to standardize them to reflect best practices.”

The proceeding will assess the adequacy of the existing protections for major electric and water utility customers during extreme heat events in view of policy objectives and to standardize them to reflect best practices.

Major electric utilities have varying definitions of what is considered extreme heat, dependent on their service territory. Some utilities, such as New York State Electric & Gas Corp. and Rochester Gas & Electric Corp., define an extreme heat event as when the forecasted temperature in a single day is over 85 degrees, while others, such as National Grid (upstate), define extreme heat as when the heat index is forecasted to reach 100 degrees or more for at least one day.

Over the past five years, the commission’s office of consumer services staff has, in conjunction with intervening parties and the major New York electric utilities, worked within the rate case process to enhance customer protections during periods of extreme heat for the major electricity utilities in New York. During the same period, this state has experienced five of the hottest summers on record – and anticipates a continuing increase in heat waves and extreme heat events in the years ahead.

Current protections halt terminations due to nonpayment or incomplete payment by establishing heat index or temperature thresholds for days when the utilities will not conduct terminations of service to residential customers. These utilities have language within their rate plans detailing customer protections during extreme heat events. Currently, there are no extreme heat protections in place for New York’s major water utilities. Staff anticipates proposing extreme heat protections for customers of water utilities with annual revenues in excess of $250,000. Such water utilities must comply with the residential consumer protections set forth by Public Service Law.

Commission staff will develop a staff proposal for public comment, and commission consideration that will present information related to extreme heat practices in New York, existing utility extreme heat protections in general, and a proposal for uniform extreme heat practices going forward. Commission staff anticipates returning to the commission with newly proposed uniform heat protections for implementation during the coming summer.

Today’s decision may be obtained by going to the commission documents section of the commission’s website at www.dps.ny.gov and entering case No. 24-M-0586 in the input box labeled "Search for Case/Matter Number." Many libraries offer free internet access. Commission documents may also be obtained from the commission’s files office, 14th floor, Three Empire State Plaza, Albany, NY 12223 (518-474-2500). If you have difficulty understanding English, please call us at 1-800-342-3377 for free language assistance services regarding this press release.

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