WATCH LIVE

House Committee on Oversight holds hearing on attempted assassination on Donald Trump. Stream now on News 12 New York.

Probe launched into electric companies' billing

New York City officials are investigating whether electric companies took advantage of their customers by increasing electricity rates during the winter months. In the course of the November/December

News 12 Staff

Mar 18, 2009, 10:43 PM

Updated 5,604 days ago

Share:

New York City officials are investigating whether electric companies took advantage of their customers by increasing electricity rates during the winter months.
In the course of the November/December billing period, Con Edison charged more than 4 cents a kilowatt per hour for electricity. In the following billing cycle, the rate nearly tripled, reaching 11 cents.
"Most New Yorkers don't understand how it is that their bills got to be so high," says Assemblyman Richard Brodsky. "It turns out there's a price-fixing scheme."
Brodsky is one of the officials who launched an investigation into New York Independent System Operators (NYISO), a corporation that trades in electricity. Researchers say the company works by its own set of rules and holds secret auctions to establish rates.
Brodsky wants to see the auction process becoming more transparent, but a NYISO spokesperson says the current pricing system provides "protection for customers." Addressing the mid-winter electricity rate increases, the spokesperson says the responsibility lies with Con Edison.
Natural gas prices were at an all-time high last spring, when electric companies like Con Edison bought electricity for the upcoming winter. When customers turned on their heat in the winter, it was reflected in their monthly bills.
Although in recent months the price of natural gas has decreased, experts say it is hard to predict whether it will be reflected in the cost of electricity.
According to Con Edison officials, a new billing process may be introduced in 2010, making electricity bills clearer and easier to understand. Under the new system, the billing cycle will be based on a monthly rate instead of a forecasted rate. State legislators are expected to vote on the new billing process early next year.


More from News 12
3:26
Tractor-trailer explodes into flames on Route 3 in Clifton sending fireball across highway

Tractor-trailer explodes into flames on Route 3 in Clifton sending fireball across highway

2:15
Mix of sun and clouds in New Jersey before pop-up showers, storms this evening

Mix of sun and clouds in New Jersey before pop-up showers, storms this evening

2:34
What are the next steps for democrats as Biden drops out of 2024 presidential race?

What are the next steps for democrats as Biden drops out of 2024 presidential race?

1:44
NJ Transit commuters experience another round of delays due to Amtrak overhead wire issue

NJ Transit commuters experience another round of delays due to Amtrak overhead wire issue

1:27
‘Too old.’ ‘A surprise.’ ‘It’s mature.’ New Jersey residents react to Biden’s decision to step down

‘Too old.’ ‘A surprise.’ ‘It’s mature.’ New Jersey residents react to Biden’s decision to step down

2:32
Multiple alarm fire damages Bayonne home; no injuries

Multiple alarm fire damages Bayonne home; no injuries

2:18
Do you know how accurate your credit report is? Kane in Your Corner shows you how to spot, fix mistakes

Do you know how accurate your credit report is? Kane in Your Corner shows you how to spot, fix mistakes

0:19
Parking garage fire causes Stop & Shop in Union to close

Parking garage fire causes Stop & Shop in Union to close

0:39
Olympics spotlight: New Jersey athletes competing at the Paris Olympic Games

Olympics spotlight: New Jersey athletes competing at the Paris Olympic Games

1:51
Made in New Jersey: The Healing Bras provides relief during painful moments

Made in New Jersey: The Healing Bras provides relief during painful moments

1:00
NJ Democratic lawmakers thank President Biden for his service in wake decision to step down

NJ Democratic lawmakers thank President Biden for his service in wake decision to step down

4:22
How VP Kamela Harris could get presidential nomination after the end of Biden's reelection bid

How VP Kamela Harris could get presidential nomination after the end of Biden's reelection bid

1:33
President Biden announces end of 2024 bid for presidency; endorses VP Kamala Harris for pick

President Biden announces end of 2024 bid for presidency; endorses VP Kamala Harris for pick

2:08
National and local lawmakers stunned by Biden's decision not to seek reelection

National and local lawmakers stunned by Biden's decision not to seek reelection

Officials release statements following President Biden's decision to end reelection bid

Officials release statements following President Biden's decision to end reelection bid

0:56
Belleville church hosts blood drive to combat shortage over summer

Belleville church hosts blood drive to combat shortage over summer

1:01
Edison High School assistant principal accused of making threats to Muslim students

Edison High School assistant principal accused of making threats to Muslim students

0:17
Police: Stratford man killed in motorcycle crash near Tinton Falls

Police: Stratford man killed in motorcycle crash near Tinton Falls

0:27
Delta: Unaccompanied minor travel paused following global technology outage

Delta: Unaccompanied minor travel paused following global technology outage

0:34
Over 1,600 U.S. flights canceled Saturday due to global technology outage

Over 1,600 U.S. flights canceled Saturday due to global technology outage