February 17, 2025
The Honorable Kathy Hochul
Governor of New York State
The Honorable Rob Ortt
New York State Senate
The Honorable Sean Ryan
New York State Senate
The Honorable Angelo Morinello
New York State Assembly
The Honorable Paul A. Bologna
New York State Assembly
RE: Opposition to the NY HEAT Act – Protecting Western New York’s Businesses and Economy
Dear Governor Hochul, Senators and Assemblymen,
On behalf of the Niagara USA Chamber of Commerce, I write to express our serious concerns regarding the proposed NY HEAT Act and the detrimental impact this legislation could have on Western New York’s business community. While we have always fully supported responsible energy policies that drive sustainability, the current proposal threatens to significantly increase energy costs, disrupt economic stability, and create uncertainty for businesses already struggling with the high cost of operating in New York State.
Escalating Business Costs in an Already Expensive Market
New York State is already among the most expensive states in the nation for businesses, with high taxes, rising operational costs, and regulatory burdens that place undue strain on employers. The NY HEAT Act, as proposed, would exacerbate this issue by imposing substantial energy-related costs on businesses, particularly in manufacturing and agribusiness, industries that rely heavily on stable and affordable energy. Proposed subsidies would only add to this burden. These added financial pressures will not only affect job creation but also make it harder for companies to expand or even maintain operations in Western New York.
Reliable Baseload Energy is Essential for Economic Growth
Niagara County’s industries, particularly agribusiness and manufacturing, depend on stable and affordable baseload energy to sustain operations, maintain workforce levels, and ensure competitiveness. Any disruption or uncertainty surrounding energy supply threatens the viability of these industries, discouraging investment and expansion. Moreover, eliminating energy options will stifle a burgeoning tech environment in Niagara County, where reliable power is critical for attracting and sustaining innovative businesses. The NY HEAT Act has already created anxiety among business leaders, as the potential for increased costs and reduced energy reliability forces them to reconsider future growth and capital expenditures.
Economic Uncertainty Stifles Investment in Niagara County
Niagara County is in critical need of new business investment and economic growth. However, legislative uncertainty—especially policies that threaten to drive up costs and limit energy options—creates an environment where businesses hesitate to commit to long-term projects. This is particularly concerning during Western New York’s harsh winters when reliable heating is not just a necessity but a matter of public safety. Many industries cannot afford disruptions or excessive costs associated with unreliable energy supplies, and the NY HEAT Act fails to provide viable, cost-effective alternatives that meet the needs of businesses and residents alike.
A Call for Practical, Business-Friendly Solutions
The Niagara USA Chamber of Commerce urges you to reconsider the NY HEAT Act in its current form and instead work with business leaders to develop a balanced approach that prioritizes both sustainability and economic viability. We need a strategy that ensures affordable and reliable energy without placing excessive burdens on businesses and consumers. A collaborative approach, including input from the business community, energy providers, and economic development leaders, is essential to crafting policies that support New York’s climate goals while maintaining our state’s economic competitiveness.
We welcome the opportunity to discuss this matter further and work towards solutions that protect Western New York’s economic future. Thank you for your attention to this critical issue. We look forward to your response.
Sincerely,
Craig W. Turner
Chairman, Board of Directors
Niagara USA Chamber of Commerce