All over the country, Americans are struggling to pay their utility bills. In the Hudson Valley, the situation is particularly dire, with some ratepayers coping with surprise monthly bills of thousands of dollars. It doesn’t have to be that way, according to the region’s democratic socialists, who are leading a fight to lower prices.
A bill introduced by Sarahana Shrestha, a democratic socialist assemblywoman in Assembly District 103 in the Mid-Hudson Valley, and her state senate colleague, Michelle Hinchey, calls for a state takeover of the utility company serving the area. A feasibility study by NewGen Strategies and Solutions, commissioned by Shrestha’s office, says a public takeover would provide millions in savings to New York State and its ratepayers.
According to the study’s projections, a publicly owned utility — unlike a private company — would no longer have to pay state and local taxes or make profit for its shareholders, allowing it to save $15.2 million in its first year alone. After that, the savings keep growing: $34.4 million by year five, $56.2 million by year ten, $116.8 million by year twenty, and $210.5 million by year thirty. These savings would allow the utility to lower costs to ratepayers. It would also allow for more stability, making billing more predictable for consumers and fund much-needed repairs to infrastructure.
Energy affordability is a matter of serious urgency in the area. In 2024, Central Hudson had to settle a $60 million class action lawsuit over a billing fiasco. One of Shrestha’s constituents, who lives in a recreational vehicle, didn’t get a bill for more than a year. When they did, it was for $6,000.
Shrestha, who was a climate organizer and active in Mid-Hudson Valley Democratic Socialists of America before her election in 2022, ran for office on energy affordability, finding that, when she talked with neighbors, it was one of their top concerns. Some ratepayers were finding thousands of dollars…
Auteur: Liza Featherstone
