New York's Utility Giant Faces Backlash Over Rate Hikes Amidst Presidential and Mayoral Pressure
President Donald Trump and Mayor-elect Zohran Mamdani may have forged an unlikely alliance, but their shared opposition to Con Edison rate hikes has been met with skepticism from New Yorkers. During a White House meeting last week, the two leaders urged the city's largest utility company to reduce rates, which will increase by 3.5% in 2026, followed by another hike of 3.2% and 3.1% in subsequent years.
The proposed rate hikes have sparked widespread outrage among customers, with many citing unaffordable energy bills as a major burden. In response, Con Edison has reduced its original proposal by about 60% for gas revenue and 34% for electricity revenue, but the new rates will still result in significant monthly increases for customers.
According to an analysis by the Alliance for a Green Economy, monthly Con Ed gas bills have risen around $50 since 2022, while profits rose by roughly 66% over the last decade. The company's largest capital expenditure is related to new gas hookups, which are passed on to ratepayers in the form of higher costs.
Critics argue that the repeal of the "100-foot rule," which allows utilities to pass on cost of connecting new customers, has contributed to the issue. Without the governor's signature, the bill remains pending, but experts say it could be a key factor in reducing Con Edison's rates.
New York City officials have acknowledged the affordability concerns, with Mayor-elect Zohran Mamdani stating that "affordability is a critical issue." However, many groups have supported the new rates, including the New York Power Authority and Amtrak. Meanwhile, customers like Lauren Boudreau and Eli Lind express frustration at the proposed rate hikes, fearing they will push them into financial hardship.
With the White House meeting behind him, Trump's involvement in Con Edison's rate hike negotiations remains unclear. As for Mamdani, his stance on energy affordability is still to be determined, but it's clear that New Yorkers are watching closely to see how their leaders address this pressing issue.
President Donald Trump and Mayor-elect Zohran Mamdani may have forged an unlikely alliance, but their shared opposition to Con Edison rate hikes has been met with skepticism from New Yorkers. During a White House meeting last week, the two leaders urged the city's largest utility company to reduce rates, which will increase by 3.5% in 2026, followed by another hike of 3.2% and 3.1% in subsequent years.
The proposed rate hikes have sparked widespread outrage among customers, with many citing unaffordable energy bills as a major burden. In response, Con Edison has reduced its original proposal by about 60% for gas revenue and 34% for electricity revenue, but the new rates will still result in significant monthly increases for customers.
According to an analysis by the Alliance for a Green Economy, monthly Con Ed gas bills have risen around $50 since 2022, while profits rose by roughly 66% over the last decade. The company's largest capital expenditure is related to new gas hookups, which are passed on to ratepayers in the form of higher costs.
Critics argue that the repeal of the "100-foot rule," which allows utilities to pass on cost of connecting new customers, has contributed to the issue. Without the governor's signature, the bill remains pending, but experts say it could be a key factor in reducing Con Edison's rates.
New York City officials have acknowledged the affordability concerns, with Mayor-elect Zohran Mamdani stating that "affordability is a critical issue." However, many groups have supported the new rates, including the New York Power Authority and Amtrak. Meanwhile, customers like Lauren Boudreau and Eli Lind express frustration at the proposed rate hikes, fearing they will push them into financial hardship.
With the White House meeting behind him, Trump's involvement in Con Edison's rate hike negotiations remains unclear. As for Mamdani, his stance on energy affordability is still to be determined, but it's clear that New Yorkers are watching closely to see how their leaders address this pressing issue.
. I mean, Con Edison is supposed to provide us with essential services like electricity and gas, not squeeze us dry. The fact that they're still going to raise rates by 3.5% next year and another 3.2% the year after that? It's just ridiculous 
. And don't even get me started on how much they're making in profits – 66% over a decade? That's crazy! 
. We need concrete solutions, not just excuses. And what about Mayor-elect Mamdani saying affordability is critical? It's all well and good until someone actually does something about it 
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! I've lived in NYC my whole life and I know what it means to have an energy bill that's already killing you. $50 more a month? Are they kidding me?! 
What's really needed here is some real regulation and transparency from our leaders. Can we please have some accountability?! 
. I mean, Con Edison's profits have been rising and their bills are going up by $50 a month? That's just not fair 
. We need our leaders to step in and make some changes 
️.
they're talkin bout reducin the rates by 60% but it's still gonna hurt so many people 
maybe we should all just start usin renewable energy 
like solar or wind power to reduce our reliance on fossil fuels that way we can save money on energy bills 
. And those profits they're raking in over the past decade? That's not right either. The 100-foot rule repeal is a good start, though. We need some real change here 
. I'm keeping an eye on this situation, hoping our leaders can find a way to make energy more affordable for everyone 
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i get that con ed needs to make some money, but this is just ridiculous 
anyway, i hope trump and mamdani can get together and find a solution that actually helps nyc residents 
3.5% in 2026?!?! that's just ridiculous 
and dont even get me started on the gas hookups 
like, why do they need to charge us so much for new connections?!? it just seems so unfair 
and what's up with the 100-foot rule repeal?!? i thought we were trying to help people out here 
I'm all for innovation and progress, but not at the expense of our wallets 
. what's up with the "100-foot rule" repeal? didn't think that was a thing... anyway, con edon's gonna have some serious explaining to do 
. It's not like they're asking for the moon here. Just a little understanding from our leaders would go a long way...