Central Hudson CEO defends rate increase request
Aug 27, 2014 5:15 am
John Ferro writes in the Poughkeepsie Journal the chief executive officer of Central Hudson Gas & Electric Corp. says there is no contradiction between the utility's opposition to a federal plan that has increased home power costs, and its own plan to do the same. Steven Lant told the paper's editorial board Tues., Aug. 26, the newly created federal capacity zone does not create value for customers. Central Hudson's proposed rate increase, he said, would be used to fund infrastructure projects. The capacity zone, and the resulting six percent cost increase, were imposed in May by the Federal Energy Regulatory Commission, or FERC. Central Hudson is challenging the zone in court. Meanwhile, the power company is seeking a seven percent increase in what it charges to deliver electricity. It is also seeking a 1.29 percent increase in its natural gas delivery rates. A representative of the grassroots organization Pleasant Valley Concerned Citizens said that while he agreed in part with Lant's comments about FERC, he said Central Hudson is fighting the federally imposed increase because it hinders Central Hudson's chances of receiving its own rate hike. The utility's request is currently before the state Public Service Commission. A final decision is not expected until next summer. Read the full story in the Poughkeepsie Journal.