It’s Official: Central Hudson rate increase in effect as of July 1

It’s Official: Central Hudson rate increase in effect as of July 1

The Public Service Commission approved a Central Hudson electricity rate increase that will add about $8 to bills.

Photo by Christine Bates

The Public Service Commission of New York approved on Aug. 14 increased Central Hudson’s electricity delivery rates effective July 1, 2025, increasing yearly until June 30, 2028.

In May 2025 the PSC Staff and Central Hudson reached a joint agreement, which was passed along to the governor appointed PSC commissioners for their approval as the final step in the process.

The rate increase does not involve the actual cost of producing electricity, but the expense of the infrastructure to deliver it including maintaining the electricity grid, reading electric meters and billing customers.

The projected rates over the next three years will increase the Basic Service Charge — a flat charge — by 21% from $21.50 currently to $26.00 in year three. The Delivery Service Charge, which is the largest part of the delivery portion of the utility bill, is scheduled to increase 17% over the three-year period.

These two increases will add approximately $8 to an average customer’s utility bill. Customers will first see higher rates on September bills.

In July 2025, the US Consumer Price Index nationally rose by 2.7% for the previous 12 months according to the US Bureau of Labor Statistics. On a national basis, according to economist Paul Krugman, retail electricity prices have risen at a 9% annual rate, four times as fast as overall consumer prices.

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