Why is the delivery charge on your utility bill so high and what are those hidden charges?

SYRACUSE, N.Y. — As temperatures rise, many Syracuse residents are expressing confusion and concern over their National Grid utility bills, particularly the high delivery charges that accompany their energy usage.

Lisa Moore, a retired homeowner in Syracuse, voiced her worries about the costs.

“But the delivery fee is more than what we’re using here. It’s going to get really hot again. Then I’m going to be scared to turn on the air conditioner because who can afford four or $500 a month,” she said.

Ken Girardin, of the Manhattan Institute, explained that the confusion stems from a lack of transparency in utility bills.

“One of the big problems is that the public doesn’t understand what’s in their utility bill,” said Girardin. “That’s partially because the utility companies themselves aren’t allowed to itemize or really break out on the utility bill what people are paying for.”

A spokesperson for National Grid clarified that the supply charge reflects the actual energy used, with prices set by the market. The delivery charge, however, includes costs for delivering energy, maintaining networks, providing 24/7 support after storms, responding to emergencies, and modernizing outdated systems.

Girardin further noted that hidden charges within the delivery charge are funding energy projects across the state.

“The offshore wind turbines being built off Long Island for which upstate will be paying the bulk, new battery storage to back up the solar panels and wind turbines that are being added elsewhere on the grid, and also these different affordability programs where the state is essentially charging people more at middle and higher incomes to subsidize the bills of lower income folks,” he said.

In Connecticut, public outcry led to legislative changes that required transparency in utility billing. However, it remains uncertain if similar efforts would succeed in New York State.

Assemblyman John Lemondes of Cayuga and Onondaga counties filed a lawsuit against the state six months ago to show customers where their money is going and he is still fighting that battle.