This US State Is Offering A $500 Discount On Energy Bills - Are You Eligible?

As winter approaches, New York Governor Kathy Hochul implored people in low-income households in her state to sign up for a state-run program that can provide discounts of up to $500 a year on energy bills. According to New York's Department of Public Service, a household cannot make more than 60% of New York state's median household income to be eligible for the Energy Affordability Program (EAP). For a household of one, that is $41,685 a year or lower, per the U.S. Department of Health & Human Services' Administration for Children and Families (ACF). For a household of two, that's $54,512. For a household of four, that's $80,165.

New York officials might also start accepting applications for the Home Energy Assistance Program, or HEAP, on November 24, 2025, but that's contingent on the state receiving $400 million from the federal government. Once that funding comes online, qualified New York households could receive discounts of between $400 and $900 a year on their heating bill. Beyond New York, the government shutdown that occurred throughout much of October and November 2025 also delayed the dispersal of Low-Income Home Energy Assistance Program funds, which aided nearly 6 million households throughout the country in 2024.

HEAP and EAP are similar yet separate programs. While HEAP provides federal subsidies to fuel companies in exchange for providing subsidies for households at or below 60% of New York State's median household income, EAP is a state program where New York's utility companies are mandated by law to provide discounts for low-income households. New York households can apply for the EAP discount (or find out if they're already in it) by contacting the utility company that serves their area. Those companies, along with links to their EAP programs, are listed on New York State's Energy Affordability Program website. Among those who are eligible are households that already receive HEAP discounts as well as several other assistance programs such as the Supplemental Nutrition Assistance Program (SNAP), Medicaid, Supplemental Security Income (SSI), veterans disability or survivors pension, and federal public housing assistance.

Once federal funding is restored, New Yorkers can apply federal heating discounts at New York's HEAP website. They can also apply online or by mail by looking up their HEAP Local District Contact.

According to the state's Department of Public Service, energy costs for low-income New York residents often eat into between 10% and 20% of their income, if not more. The energy discounts aim to lower that burden to 6% or lower.

And it isn't as if everything else in New York is cheap. According to the Missouri Economic Research and Information Center's analysis of data from a Council for Community & Economic Research (C2ER) survey, New York State was ranked at No. 47 out of 52 states and territories in terms of affordability in 2025's Q3. The most affordable was Oklahoma, which Bankrate says is among the worst states for retirement. New York's high cost of living, made even more expensive by tariffs that caused the price of essential household items to jump, was why over 8 million New Yorkers were sent inflation refund checks.

During a November 2025 press conference, Governor Hochul encouraged New Yorkers to apply for the EAP benefit. She emphasized that, while 1 million state residents were in the program, at least another 1.5 million qualifying households aren't yet participating (via WGRZ-TV). That eligibility will be expanded in early 2026, when EAP discounts will be offered to households making an amount equal to or below New York State's median household income, or those making equal to or below the local median household income in New York City and Nassau County.