High gas and electric costs have squeezed budgets across the boroughs — and relief may be years away
The Other Affordability Crisis
While Mayor Mamdani’s housing agenda has dominated political conversation in the early months of his term, another affordability problem has been deepening quietly in homes across New York City: the cost of keeping the lights on and the heat running. The City reported in early March 2026 that heating bills from National Grid and Con Edison have surged, with gas and electric costs increasing significantly over the prior year and placing serious strain on household budgets throughout the five boroughs.
What the Numbers Show
According to state energy data cited in multiple reports, average electric bills in New York are up 7 percent from last year and 47 percent from 2019 levels. In parts of upstate New York, some bills have more than doubled in that period. In New York City specifically, low-income households spend a disproportionate share of income on energy, a phenomenon researchers call “energy burden.” National energy data suggests that households earning below 30 percent of the area median income spend on average more than 8 percent of their income on energy, compared to under 3 percent for higher-income households.
The Policy Drivers
The cost increases reflect a combination of factors. Global natural gas prices have fluctuated significantly in recent years following the war in Ukraine. State climate policies that subsidize renewable energy construction have added costs to ratepayer bills. Aging infrastructure requires ongoing investment that utilities recover through rate increases approved by the Public Service Commission. And the state’s failure to build adequate new power generation capacity has created reliability concerns that carry their own costs.
What Relief Is Available
NYSERDA’s EmPower New York program provides free energy efficiency upgrades to income-eligible households, which can reduce energy consumption and therefore bills. The federal Low Income Home Energy Assistance Program, known as LIHEAP, provides direct bill assistance to qualifying households, though funding is subject to annual congressional appropriation and has been threatened by federal budget cuts. The Utility Project, a New York nonprofit, advocates for low-income utility customers and has called for the Public Service Commission to require utilities to expand bill assistance programs. The Mamdani administration has not yet released a comprehensive energy affordability agenda, though the mayor has spoken broadly about the need to reduce costs for New Yorkers.
