Guest Viewpoint
A Government Takeover of Central Hudson
Is a Costly Mistake and Misguided Policy
A Government Takeover of Central Hudson is a Costly Mistake and Misguided Policy
By JOHN COONEY, JR.
Proposed legislation in Albany would pursue a public takeover of Central Hudson, replacing a regulated utility with a government-run entity. While proponents frame this as a solution to affordability concerns, the reality is that this would create serious economic uncertainty, threaten jobs and undermine long-term infrastructure investment that is required to truly address energy affordability for our region.
The Construction Industry Council of Westchester & Hudson Valley represents hundreds of contractors and service businesses, professional service companies, and many thousands of skilled tradespeople who build and maintain the region’s critical infrastructure. We strongly urge lawmakers to reject this misguided proposal.
Reliable energy infrastructure is foundational to economic growth. The construction industry relies on dependable electric and gas service to power projects, supporting manufacturing and supply chains as well as sustain the thousands of workers who keep our regional economy moving. Central Hudson plays an essential role in maintaining and modernizing that infrastructure, while supporting hundreds of good-paying union jobs and generating millions in economic activity throughout the Hudson Valley.
A government takeover would put all of that at risk.
One of the most immediate concerns is the impact on local finances. Central Hudson contributes approximately $60 million annually in property taxes that support municipalities, schools, police departments, fire districts and other critical public services. If the utility were converted into a government-owned entity, those tax payments could disappear entirely. That would leave local governments scrambling to fill massive budget gaps, almost certainly leading to higher taxes on residents and businesses or cuts to essential services.
At the same time, the proposal threatens the very workforce responsible for safely maintaining and operating our energy infrastructure. New York is working tirelessly to advance a clean energy transition, and the state should be focused on preserving and growing skilled labor opportunities rather than destabilizing them. Eliminating or restructuring existing utility operations could jeopardize hundreds of union jobs and weaken the experienced workforce that ensures your lights stay on.
This proposal also raises major concerns about future infrastructure investment. Investor-owned utilities are subject to extensive regulatory oversight and are required to make ongoing investments to maintain and upgrade aging systems. Those investments support construction jobs, economic development, grid reliability and long-term resiliency. A government-run utility would face entirely different political constraints, creating uncertainty around whether critical infrastructure projects would continue at the scale our region requires.
Perhaps most troubling is the enormous financial burden this proposal would impose on ratepayers and taxpayers. Purchasing Central Hudson’s assets and infrastructure would likely cost billions of dollars, and those costs would not simply disappear. They would ultimately be passed on to Hudson Valley families, employers and small businesses through higher rates, taxes or both.
Everyone agrees affordability must be the top priority right now. Families and businesses across the Hudson Valley are feeling economic pressure. But a costly government takeover that creates uncertainty, threatens jobs, undermines investment, and shifts financial risk onto taxpayers is not the answer.
Our region’s future depends on strong and reliable energy infrastructure, skilled workers, and policies that promote economic stability and long-term investment. That is how we improve affordability – not pursuing an expensive and risky experiment that could have lasting consequences for our communities and economy.
About the author: John Cooney, Jr., is executive director of the Construction Industry Council of Westchester & Hudson Valley, Inc. He can be reached at john@cicnys.org or 914-631-6070.
Published: June 18, 2026.