Understanding Delivery and Supply

Understanding Delivery and Supply

In addition to fees and taxes, your energy bill includes a combination of charges: those for energy supply costs; and those for Central Hudson's delivery services.

Supply: Payments toward the energy supply portion of your bill go toward the cost of electricity and natural gas purchased from the companies that operate power plants and provide the supply of natural gas. Since deregulation, Central Hudson and other utility companies in New York state are generally not permitted to own central station generation. Central Hudson delivers these commodities. Payments toward supply costs pass through Central Hudson to pay power plant operators and natural gas supply providers. Supply rates are market-based and continuously fluctuate*, up and down, depending on factors such as customer demand, available supply and the cost of fuels.

Delivery: Central Hudson's delivery rates, which fund the infrastructure and operations providing the safe and reliable delivery of energy, are fixed and determined in advance in a thorough regulatory review and approval process.