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Electricity Suppliers in New York

New York, the city of dreams, is known for being an expensive place to live in. However, one of the most expensive parts about living in New York used to be the electricity bills before the electricity was deregulated in New York. In 1996, New York State Public Commission approve and initiated plans that would allow for customers to choose which supplier or company their wished to purchase their gas or electricity from. As of 2008, over 1 million New Yorkers have switched from their utility to another electricity provider.

Before this act was approved, all local energy utility companies in the entire United States operated in a monopolistic manner. They were able to set prices themselves with regulation from the state, and customers had no choice or any other option from which to get their power. Despite how good that seemed because of the regulation, the prices of gas and electricity began to become expensive due to lack of competition in the market.  

The need for this deregulation became the blackouts that swept across New York in 1965. The blame, naturally, landed on New York’s electricity grid because it was outdated and could not handle the demand of electricity. Despite any regulation attempts made to lower prices and improve infrastructure, the problem persisted and in the 1990’s, New York’s electricity prices were amongst the highest in the entire country.

This deregulation was of course a long and tedious process. It started with Independent Power Producers entering the markets and taking some of the monopolistic power away from these utilities. This gave more competition and made electric companies seriously work on their infrastructure and their services as well. This deregulation was received positively and a demand for it grew. New York Public Service Commission ended up passing the Competitive Opportunities Case legislation to cater to that growing demand in 1996. This legislation allowed for residential energy markets to also have access to this competition. The goal was simple: a competitive whole market by 1997, as well as a competitive retail market by 1998.

Initially, only pilot programs for larger power users were started, but by early 2000’s most consumers could choose their own electricity provider. The Public Service Commission approved certain rules in New York State Electricity and Gas territory, and these rules allowed for receiving a credit of 3.71 cents per kilowatt hour for switching to a competitive centricity provider or a CES. Since then, all New Yorkers have the option of choosing their own Electricity Provider.



The listing below is sorted by cities in alphabetic order.

List of Electricity Suppliers in New York