A hydropower rate increase from New York's public power provider has been pushing electricity bills even higher for local residents. Although the increase is lower than it would have been under an earlier proposal, the New York Power Authority estimated that a typical household will pay about $1 to $2 more each month.

Here's what to know

For Jamestown Board of Public Utilities customers, the added cost will appear in the fuel adjustment charge, WRFA reported. NYPA's six-year schedule of hydropower rate hikes began April 1 and will raise rates incrementally until the total increase equals $10 per megawatt-hour.

Initially, NYPA planned to triple hydropower rates over four years, but opposition from the governor's office, local governments, and customer advocacy groups led NYPA to abandon that proposal, WRFA reported.

Because the rate increases are tied to usage rather than a flat charge, the impact on individuals will vary depending on use. NYPA estimated that, for typical houses, the increase will amount to less than 3% of their annual electric bill. Kathy Hochul, New York's governor, approved the smaller increase in March as part of a proposal that also forgave NYPA's debt, according to WRFA. 

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More background

According to NYPA, the additional funds will replace 13 hydro turbines, along with other modernization work. Kris Sellstrom, BPU's general manager, specifically cited the plant overhaul as the reason for the rate increase, WRFA reported. 

Although ratepayers will be covering the cost of upgrading a major source of the community's electricity, the increase will pass through the BPU without changing the utility's income, Sellstrom explained, per WRFA.

Meanwhile, rates for other utility services have been projected to remain the same. A BPU board budget presentation included no mention of 2027 rate increases for either the water or wastewater division.

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Where can I learn more?

Higher energy costs and power infrastructure upgrades have been affecting households beyond Jamestown. These stories cover electricity prices, utility bill transparency, winter heating costs, and more. 

• In New York, line trips, net metering, and backup costs pushed bills higher.

• A New York senator wanted utilities to itemize state energy charges on customer bills.

• In upstate New York, winter electric bills may climb by up to $39.

• New York customers faced heating bill spikes during another season under temporary NYSEG rates.

• New York's Niagara Power Project was getting a $1.2 billion overhaul while retaining blackout-restart capabilities.

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