Senate Passes Bills to Create the State Office of the Utility Consumer Advocate

The New York State Senate passed S.4399, co-sponsored by NYS Senator Joseph P. Addabbo, Jr., which would create the State Office of the Utility Consumer Advocate.

“In recent years New York, including my district with Superstorm Sandy, has experienced some of the worst natural disasters in history with catastrophic, extended power outages, emphasizing the need for better consumer representation,” Addabbo said. “This bill provides a much-needed independent, consumer advocate to be the public voice in rate negotiations, regulatory proceedings and overseeing conditions of public service utilities.”

The Utility Consumer Advocate would be appointed by the Governor to serve a six-year term with the power to act independently in the best interest of residential consumers. In other states where such an office exists, residential consumers have seen drastic utility savings and rate increases avoided. Currently the Public Service Commission and Utility Intervention Unit, a division of the Department of State, represent New York customers but neither are able to act solely on behalf of the interest of consumers.

The Public Service Commission mediates the competing interests of utilities and others to develop facts upon which their decisions are made. The utility providers as well as large commercial and industrial customers have an active and able presence in such proceedings; however, there is an obvious lack of input from any parties representing consumers.

“More than 40 states currently have an agency to represent residential utility customers but New York isn’t one of them despite being the largest without such an office. New Yorker’s pay some of the highest utility rates in the nation so the time has come to join the others and make sure consumers are represented,” added Addabbo.

 The bill was referred to the Assembly Rules Committee, but was not voted on before the end of session.