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You are here: Home / News / Local News / BPU Electric Customers Will Continue Seeing Bill Increases Thanks To NYPA Rate Increase

BPU Electric Customers Will Continue Seeing Bill Increases Thanks To NYPA Rate Increase

October 29, 2026 By WRFA Radio Leave a Comment

Jamestown Board of Public Utilities monthly meeting (October 26, 2026)

Jamestown Board of Public Utilities Electric customers will continue seeing increases in their bill thanks to a New York Power Authority rate increase.

On April 1 of this year, the New York Power Authority (NYPA) started phasing in a $10 per megawatt hour increase that’ll take effect over the next six years.

NYPA initially proposed tripling what it charges for hydropower over a four-year period. The agency scrapped those rates amid opposition from Governor Kathy Hochul, customer advocacy groups, and local governments.

The newer proposal, which Hochul approved in March, is a much lower increase and forgives NYPA’s debt. NYPA estimates that, for the typical household, it’ll mean an annual increase of less than 3% on electric bills, about $1 to $2 per month, depending on energy usage.

BPU General Manager Kris Sellstrom said customers will see this increase via the fuel adjustment charge, “In the fuel adjustment charge, there are various charges. One of those is the New York Power Authority energy, which is a huge piece of the energy that we purchase for our community. It’s one of the key reasons why we have low cost energy. So NYPA’s rate increase does affect that charge in the purchase power adjustment charge or the fuel adjustment charge.”

Sellstrom said NYPA’s rate increase is due to the Power Authority needing to overhaul its Power Plant. According to a NYPA press release, 13 hydro turbines are being replaced along with other Plant modernizations.

Sellstrom said the rate impact is a pass-through from the BPU, where it doesn’t impact the utility’s income and, rather, impacts customers directly.

The BPU received a budget presentation on the Water and Wastewater Divisions. Neither division will have a rate increase for 2027. Finance and Customer Accounts Manager Kevin Karr said a major project for the Water Division will be the Cassadaga Pump Station upgrades. The project plan includes the replacement of 5,300 linear feet of 24‑inch cast‑iron pipe and 1,600 linear feet of 18‑inch pipe to improve system reliability and performance. Additional improvements identified include upgraded pumps, modernized electrical systems, emergency power enhancements, and a larger ground storage tank to support future system expansion.

Sellstrom also shared the good news that the Department of Energy has restored a $17.37 million grant to construct a Microgrid.

The BPU Microgrid system involves using the Utility’s gas turbine, district heating system, and the addition of a black start battery storage system, to keep the core area of downtown Jamestown and critical services like UPMC Chautauqua, emergency shelters, and schools powered in the case of a significant service interruption during a disastrous event.

Sellstrom said the project is in phase one, which is getting the battery for the grid. He added they hope to begin underground work in Summer 2027 .

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Filed Under: Local News Tagged With: BPU Wastewater Division, BPU Water Division, Cassadaga Pump Station, Jamestown Board of Public Utilities, Jamestown Community Microgrid Project, Kathy Hochul, Kevin Karr, Kris Sellstrom, New York Power Authority, U.S. Department of Energy

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