The New York State Public Service Commission recently approved the implementation of an energy affordability guarantee pilot program.
The PSC’s decision provides a plan for the design and implementation of an energy affordability pilot program for low-income households who fully electrify their space and water heating through New York State’s EmPower+ program.
This pilot program will provide approximately 1,000 EmPower+ program participants with tailored bill assistance to ensure they pay no more than six percent of their annual household income toward electricity costs.
The energy affordability guarantee was first outlined by New York Gov. Kathleen Hochul in her 2023 State of the State.
Funding for the multi-year pilot program is provided through a $50 million appropriation in the FY2025 State Budget.
To be eligible for the guarantee, the customer’s home must meet the income eligibility standard for low-income programs, which is set at annual household income equal to or lower than 60 percent of the state median income and the customer must also be electrified through the EmPower+ program.
The EmPower+ program, administered by the New York State Energy Research and Development Authority, provides no-cost and subsidized energy efficiency and clean energy upgrades for low-to-moderate income households.
The PSC expects the pilot program will fill in important information gaps regarding the electrification of low-income households such as the incremental electricity consumption and cost associated with operating heat pumps across different customer and housing profiles, while mitigating energy burden increases.
“These insights will inform broader strategies to promote the decarbonization of the housing sector while prioritizing energy affordability and consumer protections for the most vulnerable New Yorkers,” Hochul’s office said.
