Assemblyman Fred W. Thiele Jr. blasted the Long Island Power Authority on Tuesday for approving a $325 million, three-year rate increase for its 1.1 million customers. The increase is in the delivery charge portion of the utility bill which represents about 50 percent of the total utility bill, with the other half coming from fuel charges.
Citing Governor Andrew Cuomo who demanded that LIPA be more prudent with ratepayer’s money when he signed the LIPA Reform Act in 2013, Mr. Thiele charged LIPA and PSEG—LI have failed to follow that request.
“This proposal is the largest increase in the delivery charge in the history of LIPA,” he said in a release. “This rate proposal will have a substantial negative effect on Long Island jobs and the economy. PSEG-LI should have been required to prepare an economic impact statement. Clearly an electric rate increase will be a drag on any economic recovery.”
Mr. Thiele added in the release he had voted against the LIPA Reform Act because it did not guarantee LIPA would change its ways. “Today it is clear to all that the LIPA Reform Act is not about reform but guaranteeing the financial interests of a private utility company,” he said.