by Contributor | March 28, 2026 4:53 pm
Gov. Kathy Hochul promised New York would be a “leader” in clean energy. Today, the only thing we’re leading the nation in is crushing utility bills and edging closer to rolling blackouts.
A perfect storm is brewing. Demand from new technologies like AI-powered data centers, combined with the retirement of reliable power plants and impending mandates under the Climate Leadership and Community Protection Act (CLCPA), is placing unprecedented strain on our electric grid.
According to New York Independent System Operator President and CEO Rich Dewey, peak electricity demand in our state typically reaches 32,000 to 33,000 megawatts per day. Proposals for AI data centers alone could add another 13,000 megawatts, an increase of nearly 50%.
At the same time, affordability is already at a breaking point. Electricity prices have risen almost 50%[1] since the CLCPA was enacted in 2019, and New Yorkers pay about 18%[2] more for electricity than the national average. As a result, many New Yorkers across the State are finding it difficult to afford their energy bills.
In response to these realities and growing discontent, Gov. Hochul last week proposed limited adjustments[3] to the state’s climate law, including extending timelines for emissions regulations and shifting to a more widely used emissions accounting method. These proposals, however, have exposed deep divisions within her own party, with many legislative Democrats and environmental advocacy groups opposing any changes to the 2019 law.
What we’re seeing play out is a mismatch between ambition and execution, or rather, long-term goals and immediate consequences. As the transition is rushed forward, the near-term costs fall on families and businesses, weakening the public support required to see long-term solutions through.
If there were any doubt about where this is headed, this week the Business Council of NYS launched a CLCPA cost calculator[4] that lets businesses and consumers estimate future energy and gasoline costs based on New York State Energy Research and Development Authority projections. I encourage you to see the results for yourself.
A recent poll commissioned by the Independent Power Producers of New York found that 77% of voters would support building more natural gas plants if it helped lower energy costs, and nearly 80% want policymakers to prioritize increasing competition in the energy market. That sentiment is driven by the belief that greater competition would lead to more pricing options, better choices and relief from utility monopolies.
Grid operators across the country are already adapting to this new reality. In the PJM Interconnection region, which coordinates the electric grid across 13 states and Washington, D.C., new data centers are being encouraged to bring their own power generation online. New York should be taking note, because without major changes to our current energy plan, we could be looking at rolling blackouts, or worse, come summer.
If you have any questions or comments on this or any other state issue, or if you would like to be added to my mailing list or receive my newsletter, please contact my office. My office can be reached by mail at 19 Canalview Mall, Fulton, NY 13069 and by email at [email protected][5]. You may also find me, Assemblyman Will Barclay, on Facebook or X at @WillABarclay.
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