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Governor Hochul’s 2026 State-of-the-State Address Offers Reasons for Both Optimism and Concern

Ene 16, 2026

  • Press Release
  • FOR IMMEDIATE RELEASE
    January 16, 2026
    Contact: Jama Joseph, 646-951-1648, jama.joseph@weact.org

     

    NEW YORK — After reviewing New York State Governor Kathy Hochu’s vision for the 2027 fiscal year outlined in her annual State-of-the-State address on Tuesday, WE ACT for Environmental Justice sees reasons for both optimism and concern.

    We commend the Governor’s proposal to reinvest $425 million in the Environmental Protection Fund (EPF), as this funding is vital for safeguarding our natural resources and ensuring that New York remains a national environmental leader. We also applaud the Governor’s plan to continue investing in the EmPower+ program and working to increase participation in the Energy Affordability Program (EAP). By streamlining the administration of these programs, launching a centralized outreach campaign, and investing over $1 billion annually to lower energy bills, the State is taking necessary steps to ensure that low-income New Yorkers can access the weatherization and financial assistance they deserve.

    However, while we acknowledge these positive developments, we remain concerned that the Governor’s plans still fall short of addressing the root causes of the challenges facing low-income communities and communities of color – skyrocketing bills, long-outdated consumer protections, and underinvestment in energy efficiency. Moreover, the policy proposals related to tackling utility costs largely reflect what we consider to be within the Public Service Commission’s existing authority.

    The Governor’s focus on bill assistance, while desperately needed, gives the false impression that the Public Service Commission (PSC) somehow can’t direct utilities to address the challenge of low participation in EAP when, in fact, the PSC could direct utilities to address poor participation in EAP right now. Furthermore, the focus on bill assistance isn’t a concrete solution for bringing down rates – which is what’s actually pushing energy costs beyond most New Yorker’s reach. We believe that directing the PSC to develop a rate structure across utilities where compensation is driven by benchmarks like affordability and other social and environmental factors – not just how much they spend on building more pipes and wires – is key to meeting the energy needs of New Yorkers.

    Funding for efficiency is a step in the right direction, as it’s the most direct and durable way to lower bills, but the funding level for Empower+ – the state’s signature energy efficiency program – feels symbolic rather than a structural solution to the affordability crisis and is only a quarter of what the State has committed to the program in recent years.

    We are also concerned that the current proposals do not offer enough in the way of robust consumer protections or long-term structural changes to lower the cost of energy at its source.

    The Governor’s plan to establish a “Nuclear Reliability Backbone” is another cause of concern. While the State seeks a zero-emission grid, we question the financial viability of doubling down on nuclear energy. This approach risks locking New York into a high-cost energy future that does not address the immediate need for affordable, decentralized renewable energy. Rather than prioritizing costly, large-scale infrastructure that has historically bypassed frontline communities, the State should focus on investments that provide direct economic relief and local power generation.

    Additionally, we view the omission of additional funding for the Sustainable Future Program as a missed opportunity to continue the State’s national environmental leadership through investment in the clean economy. Properly funded, the program would be a powerful tool to counterbalance opposition to investments in renewables and serve as an interim step toward a wholesale transformation of our energy economy that prioritizes equity.

    “We appreciate Governor Hochul maintaining funding to the Environmental Protection Fund, and asking that data centers be required to pay their fair share of electricity,” noted Lonnie Portis, Director of Policy and Legislative Affairs at WE ACT for Environmental Justice. “But we need more details on this data center initiative, as these facilities are rife with environmental issues beyond simply making energy more expensive for New Yorkers. We also want to know how the State is going to meet the emission-reduction mandates outlined in the Climate Act.”

    “We remain concerned that the Governor’s plans still fall well-short of addressing the urgency and scale of the challenges facing communities of color and low-income, especially when it comes to environmental issues such as energy affordability, air pollution, greenhouse gas emissions, toxics in personal care products, and childhood lead paint exposure. The Governor didn’t even mention her signature Sustainable Future Program,” added Portis.

    New York’s disadvantaged communities continue to bear the brunt of the climate crisis, yet are often the last to receive the full range of investments and benefits offered by a transition to a renewable energy economy. These communities remain dumping grounds for all sources of pollution, including data centers. New Yorkers need relief, and these communities need their fair share – from affordable energy and clean air, land, and water.

    Despite these concerns, WE ACT remains committed to working with the Governor and state legislators to ensure that the final Executive Budget is one that supports all New Yorkers.

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    WE ACT for Environmental Justice is a Northern Manhattan-based, membership-driven organization whose mission is to build healthy communities by ensuring that people of color and/or low-income residents are meaningfully included in the development of sound and fair environmental health and protection policies and practices. WE ACT has offices in New York and Washington, D.C. Visit us at weact.org and follow us on Facebook, Bluesky, and Instagram. WE ACT’s legislative priorities are detailed in our 2026 Policy Agenda.