Central Hudson has admitted it failed to provide safe and adequate service in the lead-up to a catastrophic natural gas explosion in Wappingers Falls, New York, two years ago.
The admission comes as part of a settlement with the state Public Service Commission that requires the utility to pay a $5 million penalty and establish a remediation fund worth between $2.5 million and $3.5 million to strengthen gas safety protocols. The company said the costs will not be passed on to customers.
The acknowledgment marks a significant reversal for Central Hudson, which had previously denied responsibility for the November 2023 blast. The explosion destroyed two buildings on Brick Row, injured eight people and left a nine-year-old boy with life-changing injuries. Regulators found that the company failed to disclose the presence of an active gas line in the project documents it gave to contractors ahead of excavation work.
On the day of the incident, workers were digging a trench to replace steel service lines with plastic ones when an excavator struck the unmarked gas line. The rupture caused a high-pressure leak that led to an explosion and fire at 7 Brick Row. The Department of Public Service later determined that Central Hudson knew about the active line but failed to include it in the contractor’s binder or mark it before digging began.
As part of the settlement, Central Hudson acknowledged that its contractors failed to follow established procedures and that the company itself failed to provide safe and adequate service, as required under state law. The company has now pledged to strengthen oversight and enhance safety measures.
“We deeply regret the impact this incident has had on all those who were injured or otherwise impacted,” spokesperson Réal Hamilton-Romeo said. “We remain focused on rebuilding trust with the communities we serve through transparency, accountability and meaningful action.”
The consequences for victims remain severe. The child injured in the blast, now 11, continues to receive intensive hospital treatment for burns and complications that have left him with limited mobility, sensory loss and long-term health challenges. His family’s medical bills have exceeded $10 million, according to their attorney, who confirmed they are pursuing legal action against Central Hudson and its contractors. Other residents and workers injured in the explosion have also filed lawsuits, including a crew member who lost his leg.
Central Hudson said it will comply with the settlement order and continue working with regulators to prevent similar tragedies in the future. Meanwhile, the community of Wappingers Falls is still dealing with the physical, emotional and financial fallout from an explosion that reshaped lives across the village.