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State Assemblymember Sarahana Shrestha has initiated a survey for Central Hudson customers to gauge opinions on a potential public takeover of the utility company. Shrestha highlighted that over 52 million adults reported struggling to pay energy bills in the past year. She argues that public ownership could be a more cost-effective way to manage infrastructure, as publicly-owned utilities have reportedly raised rates less than investor-owned utilities. Central Hudson, however, maintains that it is not for sale.
Two studies present conflicting estimates for the cost of a public takeover. A study by NewGen Strategies and Solutions, commissioned by the Hudson Valley for Public Power coalition, estimates the cost at $3.5 billion, projecting savings of $210 million annually by Year 30. In contrast, the Protect Our Power coalition's study estimates the cost at $7 billion, predicting a potential 36% increase in customer bills. Central Hudson, owned by Fortis since 2013, has stated that the utility is not for sale, but legislation could allow the state to acquire it through eminent domain.
The survey, which aims to gather customer feedback, can be accessed online. Legislators are considering a bill that would establish the Hudson Valley Power Authority, a nonprofit entity to manage the utility. State Senator Michelle Hinchey and Assemblymember Shrestha are proponents of the bill, which they believe could lead to lower rates and support state climate goals. However, the proposal faces opposition from local business leaders and labor organizations concerned about potential job losses and increased costs.