New York State Electric & Gas company (NYSEG) customers have seen major increases to their bills due to spike in the price of natural gas.
The main force behind massive energy bills is the rising price of natural gas, the heating source for roughly two thirds of households in New York, according to data from the U.S. Energy Information Administration (EIA).
The average annual price of natural gas in 2021 was 90% higher than 2020 prices. NYSEG is not legally permitted to charge customers more than what it cost the company to obtain natural gas.
Another cause of skyrocketing utility bills is the rate increase for NYSEG approved in November 2020 by the Public Service Commission, the regulatory portion of the state Department of Public Service that oversees electric and gas industries in New York, according to Ithaca Voice.
The most recent rate increase was in May 2021, but rates are set to increase again on May 1, 2022, marking a 9.6% rise from NYSEG rates prior to May 2020.
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