NYC congestion pricing to drive up the cost of beer: Another ‘nail in the coffin’

NYC congestion pricing to drive up the cost of beer: Another ‘nail in the coffin’

That’s a buzz kill!

Big Apple beer hounds may have to fork over 13% more for a brew as congestion pricing drives up costs for customers and businesses alike in some of Manhattan’s busiest neighborhoods.

Anheuser-Busch, whose brands include Budweiser, Michelob Ultra, Stella Artois and Corona, will raise keg prices by $5 across the board for customers throughout the NYC area, a company sales rep told The Post this week.

Beer prices could go up as congestion pricing makes doing deliveries in Manhattan more expensive. Leonardo Munoz
Beer reps say alcohol distributors will likely follow Anheuser-Busch’s lead and hike up fees to account for congestion pricing. Leonardo Munoz

“We’re building the cost of congestion pricing into delivery fees,” the rep said.

And that means bars will likely have to charge an extra dollar per pint to offset the higher price, which he said the industry giant is in the process of notifying customers about.

“It’s death by 1,000 cuts,” one angry beer drinker in Midtown said of the impending price increase. “It’s particularly galling to me because this is nothing more than another Albany cash grab,” he added.

Some brew fans said the jump a price hike may turn them into teetotalers.

At Tile Bar in the East Village, Bartell says he drinks Bud because it’s inexpensive — but won’t if it goes up much in price. Leonardo Munoz

“It’s not worth it,” said Jaye Bartell, 42, a customer at the Tile Bar in the East Village who said he only drinks Budweiser because it’s cheap.

The beer boondoggle is another “nail in the New York coffin” for the industry, according to Lee Seinfeld, owner of Dive Bar and three other spots on the Upper West Side.

“This is going to be hard for me and I’m above 61st Street,” Seinfeld said. “Midtown bars are really going to suffer,” said Seinfeld, who noted his food prices have already gone up 45% since the pandemic.

Some vendors have even asked if he’d take deliveries after the bar closes at 4 a.m. in order to save some dough, since off the tolls go down to $2.25 in off peak hours.

An IPA from Goose Island Beer Company, which was acquired by Anheuser-Busch in 2011, seen at Pig N’ Whistle in Midtown. Leonardo Munoz
A bartender at Pig N’ Whistle Public House on West 48th Street pours a Stella Artois from the tap.
Leonardo Munoz

“Five dollars is too much,” said Eugene Wilson, owner of the West 48th Street Pig N’ Whistle Public House on West 48th Street.

Wilson said he hasn’t been informed of any price hikes yet, though he knows they’re coming and is hesitant to raise the cost of a suds because “beer prices are already up there,” he said.

A Bud Light draft at his watering hole, which draws lots of Rockefeller Center visitors, is $8 and a Stella is $10.

A rep for a large independent distributor said alcohol distributors will likely follow Anheuser-Busch’s lead.

Congestion pricing has driven up the cost of food and supplies for bars and restaurants and beer prices are expected to increase next. Corbis via Getty Images

Price jumps in the service industry are being seen across the board.

Bar and restaurant suppliers have been notifying owners that the price of beer and other products will rise due to congestion pricing, Andrew Rigie, executive director of the New York City Hospitality Alliance told The Post.

“This is precisely the scenario small businesses were concerned about,” he said. “The cost gets passed onto them, and then they must make the difficult decision if they can eat it or must pass it on to their customers.”

Anheuser-Busch, whose brands include Budweiser, Michelob Ultra, Stella Artois and Corona, is notifying customers that it is raising keg prices by $5. Bloomberg via Getty Images

Cintas, which provides uniforms, aprons and cleaning supplies, recently informed clients about congestion pricing-related price increases as of Jan. 5.

“As you are aware, the costs of conducting business in New York City have continued to increase,” a letter from Cintas to its customers read.

“Despite Cintas’ strategic efforts to absorb all of these increased costs, we will be implementing a price adjustment on your service charge to help offset the expenses of continuing to conduct business in New York City,” it continued.

During peak congestion pricing hours, large trucks will have to pay $21.60 and small trucks will be charged $14.40. Christopher Sadowski

And the food distributor Sysco informed businesses that it would be adding a $1 “congestion charge,” in addition to an existing fuel charge, to all deliveries within the “impacted area,” according to an email shared with The Post.

As of Jan. 5, drivers must pay $9 to travel below 60th Street during peak hours.

Gov. Kathy Hochul resuscitated the contentious congestion pricing plan in November, claiming it will help fund MTA upgrades and ease crowding and pollution.



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