Letter-Op-Ed by Ron Matten
This last weekend many Yonkersites received a notice that their energy service provider (ESCO) would be changed unless they choose to opt-out. This notice was sent to residents with Con Edison Accounts who have not entered into a contract with an ESCO and are being supplied utility commodities by Con Edison. If you are a Con Edison customer and you don’t remember receiving the notice, you probably threw it away. It looked like junk mail.
Your utility bill is divided into two parts. You are billed for the actual utility commodity, electricity and/or natural gas, and the transmission of said commodity. The transmission or distribution includes the use and maintenance of the transformers, wires, piping and other infrastructure that Con Edison uses to deliver the commodity. In New York State, consumers can choose their energy provider. In our area, Con Edison manages the distribution infrastructure, which is often more costly than the commodity. If youdid not enter into an agreement with an ESCO or third-party provider, Con Edison is your default provider.
The City of Yonkers has contracted with Westchester Power to be the ESCO for residents that currently have Con Edison as their default provider. In order to avoid having your utility provider switched, you must actively opt -out before February 9, 2022. If you do not actively opt-out, you will be automatically signed up. Current Westchester Power rates are higher than Con Edison’s variable rate.
You may ask, how can the City of Yonkers change my utility provider without asking me? The New York State Public Service Commission established the Community Choice Aggregation Program on April 21, 2016. The program allows municipalities to negotiate and procure “green” energy for their residents.
A bill sponsored by the City of Yonkers Mayor’s Office of Sustainability was presented at the March 9, 2021, City Council meeting. The bill allowed the City of Yonkers to procure energy for all residents who were customers of the default provider, Con Edison. The bill also listed an opt-out provision, not an optin provision. The Yonkers City Council passed the bill by a vote of five (5) to two (2), with Anthony Merante and Mike Breen voting against the legislation. The law is now part of the Yonkers City Code.
Years before Yonkers joined Community Choice Aggregation, Greenburgh enrolled in the program. Residents of Greenburgh have been complaining about the higher rates and the inability to opt out, once enrolled. In December, Westchester Power’s Renewable Fixed rate was 33% higher than the average Con Edison standard rate. This figure is based on Greenburgh’s published rates.
The New York State Public Service Commission requires that municipalities joining the CCA provide education and information sessions to potential CCA members for no less than a two-month period.
Yonkers has met this criterion, but the city has done a poor job in promoting the sessions. This is evidenced by the large number of residents treating the opt-out mailer as junk mail. While the opt-out mailer and letter displayed the city seal, it came from a Houston, Texas address. It did not appear to be an official
mailer from the City of Yonkers. The City Council and Mayor should delay the enrollment until a new mailer with more appropriate marking can reach Yonkersites.
Presently, if you do not want Westchester Power to be your ESCO, you must opt-out by February 9th 2022. The advantage of being in the program is using energy from renewable sources.
The disadvantage is that you will generally pay more for renewable energy. The choice is yours.