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LIPA Proposes 1.5% Rate Increase Next Year

The Long Island Power Authority proposed a 1.5 percent rate increase for customers in its 2012 operating budget Thursday.

The increase would work out to about $2.24 extra per month for the typical residential customer and would go into effect on March 1, 2012. The company stated that the rate hike was a result of the $52 million charge it received in increased property taxes and assessments.

The budget includes a new outage management system that will allow the utility to improve customer power outage dispatch times and provide automated information on the cause of the outages. It will give customers the ability to communicate with LIPA by using text messaging and mobile web applications.


The money will also go into funding for solar and wind programs and ongoing smart grid initiatives.

A proposed extension to LIPA’s Household Assistance Rate program will exclude qualifying low-income customers from the proposed adjustment in the delivery charge portion of their bill and a tariff change will make residential rates available to customers in multi-family dwellings and accessory buildings at the same location.

“The best way for our customers to lower their bills is to maximize energy efficiency and participate in LIPA’s efficiency programs,” Chief Operating Officer Michael Hervey said.

The public is invited to comment on proposed budget during public input sessions on Nov. 30 and Dec. 6 in both Nassau and Suffolk Counties. Customers can also email comments to LIPA through Dec. 14. Trustees will vote on the budget in mid-December.

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