Requires gas and electric corporations to provide thirty days' notice to customers whenever there is a service rate or charge increase

2025 Regular Session Introduced by Joe Addabbo

Requires gas and electric utilities to give each customer at least 30 days’ written notice before any rate or charge increase takes effect.

2ND REPORT CAL.

Overview

Jurisdiction: New York

Introduced: April 7, 2026

Sponsor: Senator Addabbo (co-sponsor: Joe Addabbo)

Status: Referred to the Senate Committee on Energy and Telecommunications; subsequent actions show reports to the calendar

Purpose: To require gas and electric utilities to provide customers with at least 30 days’ written notice before any increase in rates or charges for services.

Main Purpose and Intent

The bill amends the public service law to enhance consumer notification requirements. Specifically, it mandates that all gas and electric corporations must give every affected customer at least 30 days' written notice prior to the implementation of any rate or charge increase for services. The aim is to improve transparency, allow customers time to prepare for cost changes, and potentially enable customers to shop around or adjust usage to mitigate higher bills.

Key Provisions

New notice requirement: Adds a specific mandate that, in addition to existing obligations, utilities must provide at least 30 days’ written notice to each customer receiving the service.

Scope of notice: Applies to any increase in rates or charges for gas or electric services as defined by the relevant provisions of the public service law (referenced as paragraph (c) of subdivision 12, section 66).

Format and delivery: The notice must be in writing. The bill does not specify exact formats or delivery methods beyond “in writing,” implying notification could be by mail, digital communications, or other written means as determined by the commission.

Effective date: The act is designed to take effect immediately upon enactment.

Affected Parties

Gas and electric corporations: Utilities that provide natural gas or electricity are directly subject to the new notice requirement.

Customers: Residential, commercial, and other consumers who receive gas or electric services from the affected utilities would be entitled to the 30-day notice before a rate or charge increase takes effect.

Procedural and Timeline Aspects

Legislative path: Introduced in the Senate and referred to the Committee on Energy and Telecommunications. The action history shows subsequent House and committee timing (reports CAL) indicating ongoing consideration.

Immediate effect: The bill is drafted to take effect immediately upon enactment, meaning the 30-day notice requirement would apply from the date of enactment for new rate/charge increases.

Potential Impacts and Considerations

Consumer protections: The requirement provides customers with advance warning, enabling budgeting and planning for higher energy costs.

Operational impact on utilities: Utilities may need to modify billing notification processes and ensure compliance with the 30-day window.

Industry implications: Could affect how and when rate adjustments are communicated and may interact with other regulatory proceedings or approval timelines.

Policy goals: Aligns with consumer protection and transparency objectives within energy regulation.

Notes

The text specifies “notice, in writing, to each customer which such service is being provided,” but does not detail the exact delivery method beyond written communication.

The bill’s language emphasizes the notice timing relative to rate/charge increases and adds this requirement on top of existing rate-change requirements.

Bill