Assemblyman Angelo Santabarbara today condemned the Public Service Commission’s approval of a new rate hike for National Grid customers, calling it unjustified in light of the company’s latest financial results.

 “Families should never see higher bills while utilities report profits and pay dividends. Asking New Yorkers to pay more so shareholders can collect more is unacceptable,” said Assemblyman Angelo Santabarbara.

 National Grid’s profits surged last year – with pre-tax earnings jumping 20% to $4.8 billion and its core business profits rising 12% to $7.0 billion. At the same time, the company maintained a dividend payout ratio of nearly 78%, directing most of its earnings to shareholders, and its CEO, John Pettigrew, received over $7.8 million in total compensation.

 “To put it plainly, while National Grid is sending billions to shareholders and paying executives millions, families in my district are being told they need to pay higher bills. That’s hypocrisy — and it has to stop,” Assemblyman Santabarbara added.

 To end this practice, Santabarbara has introduced new legislation in the New York State Assembly – the Utility Profit Reinvestment & Rate Hike Ban Act – which establishes three clear rules:

• Rate Hikes During High Profits — If a utility’s profits rise more than 10% above its three- No year average, it cannot request a rate increase. National Grid’s 12% profit jump this past year would have blocked its latest hike under this bill.
• Reinvest, Don’t Redistribute — Utilities must reinvest at least 75% of annual profits into grid upgrades, reliability, safety, and clean energy — not shareholder payouts.
• Rate Hike Lockbox — If a rate hike is ever approved, 100% of the revenue must go directly to improving infrastructure, safety, and reliability. Not one penny can go to dividends, stock buybacks, or executive pay.

 “Utilities are supposed to deliver reliable, affordable service — not protect profits at the expense of working families and seniors,” Assemblyman Santabarbara said. “This legislation makes sure every dollar goes into the system, where it belongs.”