William J. Kemble is reporting in the Daily Freeman Central Hudson Gas & Electric Corp. is warning of rate increases of 8 percent for homeowners and 15 percent for businesses under a plan by the Federal Energy Regulatory Commission to limit sources of electricity. The utility this week said federal regulators are establishing “capacity zones” that would artificially push up the price of electricity. According to a company spokesman, Central Hudson can currently draw from approximately 30 electric generators statewide. Under the new federal plan, that would be reduced to three, or perhaps four generators. The company will be limited to buying that capacity to an area south of the Capital District and north of the New York City metropolitan area. Capacity-related costs to customers were not part of a promise made this year by the Canadian-based Fortis Inc. during its successful takeover of Central Hudson’s parent company, CH Energy Group, to freeze rates for two years. The new rules are scheduled to take effect in March 2014. Utility companies and the state Public Service Commission are trying to convince federal regulators that plans for new transmission lines will resolve the problem. Read the full story in the Daily Freeman.