SLATER DEMANDS TRANSPARENCY ON DISCOUNTED ELECTRICITY FOR DATA CENTERS AS NEW YORKERS FACE RISING UTILITY COSTS

Assemblyman Matt Slater (R,C-Yorktown) is calling on the New York Power Authority (NYPA) to disclose the financial benefits being provided to data centers through the state's ReCharge New York program as residents continue to face rising utility costs and growing concerns over the impact of large-scale data center development on New York's energy grid.

Slater joined members of the Assembly Republican Conference in a letter to NYPA President and CEO Justin Driscoll requesting the immediate disclosure of discounted electricity rates and the value of financial incentives provided to data centers through the program. The lawmakers argue that greater transparency is necessary to determine whether these publicly administered benefits are delivering a meaningful return for New Yorkers.

“New Yorkers are already struggling to keep up with their utility bills, and they deserve to know whether large data centers are receiving discounted electricity through state programs while hardworking families continue paying more,” said Slater. “Economic development is important, but it cannot come at the expense of residential ratepayers. If these facilities are receiving special electricity rates, the public deserves to know how much those discounts are worth and what taxpayers are getting in return.”

ReCharge New York is an economic development program administered by NYPA that provides qualifying businesses and nonprofit organizations with access to lower-cost electricity in exchange for commitments to job creation, job retention and economic investment. However, recent reporting indicates that data centers participating in the program have received discounted power without public disclosure of the specific rates being paid or the dollar value of those benefits.

In their letter, lawmakers emphasized that data centers present unique challenges because of their substantial electricity demands and potential impact on grid reliability. They asked NYPA to release financial information on these allocations while protecting proprietary customer information.

Slater has previously raised concerns about the rapid expansion of data centers in New York and supports legislation establishing a one-year moratorium on new data center development to allow the state to better evaluate the potential impacts on electricity costs, grid capacity and surrounding communities.

“We cannot continue moving forward with energy-intensive development without fully understanding the consequences for our communities,” Slater continued. “Before New York commits additional resources to these facilities, we need to know what impact they will have on our electric grid, what costs could ultimately be passed along to consumers and whether the economic benefits justify the incentives being offered.”

The lawmakers also highlighted the need for stronger protections to ensure that high-demand electricity customers bear the costs associated with their operations rather than shifting those expenses onto residential customers. Assemblyman Scott Gray has introduced legislation, A.11419, that would establish a process for utilities and high-demand customers to negotiate service agreements subject to Public Service Commission approval.

Slater has consistently advocated for greater accountability in New York's energy policies and relief for families facing rising electricity and natural gas bills. He has supported efforts to increase transparency surrounding utility rate increases, strengthen oversight of energy costs and pursue a more affordable and reliable energy future for New Yorkers.

“Families across the Hudson Valley are being asked to pay more and more just to keep the lights on,” Slater concluded. “The last thing they should have to worry about is whether their electricity bills are helping subsidize massive energy users without their knowledge. We need transparency, accountability and a commitment to putting New York ratepayers first.”