PSEG power charge up 6% as total customers in arrears also increases
A PSEG truck in Commack on July 2, 2019. Credit: James Carbone
PSEG’s power supply charge increased again in March, signaling higher bills at a time when ratepayers owe record amounts in past-due bills.
The March 2022 power supply of just over 12.8 cents a kilowatt-hour is a 6% jump from February and a 20% increase for the same month a year ago. The charge was up 12% in January compared with December, and 26% on a year-over-year basis.
PSEG blamed the natural gas price that increased because of "international commodity pricing and increased international demand," which in turn puts an "upward pressure on the power supply charge" on customer bills. National Grid, which supplies natural gas to the region, in February said bills would spike nearly $20 on top of previously announced increases.
The higher cost of electricity comes as past-due bills by customers on Long Island, and across the state, continue to increase. For February, residential customers in PSEG’s service territory owed $181.5 million in bills 30 days or more past due, compared with $142.8 million in February of 2021. In March, 2020, the figure stood at $95.2 million, according to PSEG figures.
The number of residential customers behind on their bills was 187,380, PSEG said. That compares with 182,435 residential customers 30 days or more past due in September.
Statewide for electric and gas customers, about 1.3 million New York utility customers were more than $1.7 billion in arrears as of December, according to state figures.
Groups such as AARP and the Public Utility Law Project have called on the state to dedicate federal funds to help alleviate the costs to ratepayers, including $1.25 billion from the American Rescue Plan and $200 million in state tax funds. They are also asking for passage of a bill by State Sen. Kevin Parker (D-Brooklyn) to ban utility shutoffs through June 2022. COVID-19-based protections against shutoffs ended in December.
PSEG spokeswoman Ashley Chauvin said the utility has not yet set a date for when it will begin actively shutting off customers’ power for unpaid electric bills. The preference, she said, is that customers work out a payment plan with the utility.
PSEG has been contacting customers to tell them of payment plans and programs to help with utility costs. Thus far the company has made 20,000 home visits and half of those have agreed to payment plans.
As of February, there were 40,634 customers on payment plans, compared with 30,566 in September. In March 2020, PSEG said, the figure was 52,415.
Earlier this week, Gov. Kathy Hochul sent letters to utility officials across the state, urging them to communicate with customers about rising electric costs and increase outreach to customers to help with assistance programs.
Chauvin said the company was working with the state and LIPA to "mitigate energy price volatility and inform customers" of programs to help, in line with Hochul’s request.
Mark Harrington, a Newsday reporter since 1999, covers energy, wineries, Indian affairs and fisheries.
'I haven't stopped crying' Over the past year, Newsday has followed a pair of migrant families as they navigate new surroundings and an immigration system that has been overwhelmed. NewsdayTV's Ken Buffa reports.
'I haven't stopped crying' Over the past year, Newsday has followed a pair of migrant families as they navigate new surroundings and an immigration system that has been overwhelmed. NewsdayTV's Ken Buffa reports.
