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New York to end gas hookup subsidy

Repeal shifts upfront gas hookup costs to developers and homebuyers, potentially saving New York ratepayers $581 million annually, officials say.

  • On Friday, Governor Kathy Hochul signed legislation ending the state's "100-foot rule" that required utilities to cover the first 100 feet of new residential gas lines.
  • Supporters argued the repeal stops unfair cross-subsidy forcing existing utility customers to pay for new hookups and helps curb new gas connections to meet climate and clean-energy goals.
  • The Public Utility Law Project found the repeal will save New York ratepayers $581 million annually, while utilities recovered connection expenses averaging $5,880 each, with statewide costs ranging from $450 million to $600 million.
  • Developers and homebuyers face up to $14,000 and about $7,000 Upstate, respectively, as utilities will no longer subsidize gas hookups starting next year.
  • Hochul and legislators agreed to a 12-month phase-out to give state regulators and builders time before the repeal, amid other energy actions including an offshore pipeline permit and Bitcoin miner deal.
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wshu.org broke the news in on Monday, December 22, 2025.
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