N.Y. strikes deal to privatize LIPA

Sponsored by

Policymakers in New York State have reportedly reached a deal to bring the state-owned Long Island Power Authority under private control. The agreement would also freeze LIPA's rates until 2015, according to Reuters.

Gov. Andrew Cuomo, who previously called LIPA "broken," announced the deal June 19.  LIPA was the subject of many bad headlines following Hurricane Sandy as more than a million of the utility's customers were left without power and the outage restoration process took weeks in some cases.

The proposed deal was already partially in the works since LIPA's service agreement with National Grid was set to run out by the end of 2013 and Newark, New Jersey-based Public Service Electric & Gas Co. scheduled to take over as Long Island's power grid operator.

Cuomo's proposal would see PSE&G's role expanded to take over the day-to-day operations handled by LIPA — including storm response, outage restoration, budgeting, maintenance and infrastructure improvements, according to Reuters.

Cuomo also wants to cut LIPA staff from 90 to 20 and remove 10 members of the utility's board of directors, which currently has 15 members.

LIPA will still be allowed to receive federal disaster funding and will maintain certain tax advantages of a publicly owned utility, according to Cuomo.

According to an April survey by the American Customer Satisfaction Index, LIPA's customer satisfaction ranking dropped 26 percentage points following Hurricane Sandy. Customer satisfaction is ranked at 43 percent, which is the lowest score recorded by ACSI for any utility.

The utility is $6.7 billion in debt, according to reports.

PSE&G was named America's most reliable electric utility by PA Consulting, according to the utility's website. The utility's response to Hurricane Irene also won an "outstanding response" aware from ReliabiltyOne, an industry group.

Sponsored by

CURRENT ARTICLES

IIT, ComEd, Silver Spring and West Monroe Partners open smart grid center

09/23/2014 The center together academic, industry and utility experts to provide a fully-functional test environment for smart grid a...

Brazil adds 74 power generation projects to power auction

09/23/2014 Brazil's mining and energy ministry (MME) has added 74 power generation projects to its A-5 power auction catalog 

HelioSage sells 40 MW solar power project to Duke Energy

09/23/2014

HelioSage Energy has announced the sale of a 40 MW AC solar photovoltaic project to Duke Energy 

Senate resolution opposes Canadian nuclear waste plan

09/23/2014 A federal panel in Canada is taking testimony on the plan to store low- and intermediate-level waste from nuclear power pl...

JCP&L upgrades enhance reliability on circuits in New Jersey

09/23/2014

The work is part of the company's effort to use advanced technology to help enhance service reliability to customers

Energy security is a challenge in Brazil for the next years

09/23/2014 Discussions about Energy Security that might define the course of the electric power sector in the country will take place...

Vietnam's EVN HCMC, Trilliant sign smart grid contract

09/23/2014 Smart grid firm Trilliant signed a contract with EVN HCMC, a unit of EVN, the largest power company in Vietnam, for a smar...

ON DEMAND WEBCASTS

3D BIM for Substations—Driving Efficiency from Design Through Operation and Maintenance

In this webinar, PESTECH will describe their transition to intelligent substation design and its ...

High Availability Networks. Application of IEC6439-3 Protocols for IEC61850 Process Bus implementation

Networks can now be built for the first time with genuinely uninterrupted data communication betw...

Understanding Moisture Dynamics in Power Transformers

While the need to measure moisture in power transformers has been well documented and is universa...

Regional Market Outlook for the WECC and ERCOT

Looking for an independent market outlook and analysis of the WECC and ERCOT power markets? ...

Streamline Utility Field Inspections to Improve System Reliability &  Customer Satisfaction

Arm your workers with solutions that improve productivity and customer satisfaction. Listen in an...

EL&P BUYER'S GUIDE PRODUCTS

MITEM Corp

Provides CRM solutions for regulated U.S. public utilities. The product, MitemView integrates differently designed systems to share critical data a...

Resources on Demand

Manages resource requests, tracks personnel movements, and supports lodging/logistics during a power restoration event.

Smart Grids

Quanta is contributing to its customers' smart grid initiatives by installing technology on power networks to provide energy management solutions f...

Horizontal Directional Drilling

With 28 small, mid-sized and large drilling rigs, Quanta Pipeline Services is one of the largest horizontal directional contractors in the world fo...

FEATURED ENERGY JOBS

View more Job Listings >>

POWERGRID International

April 2014
Volume 19, Issue 4
1404pg-cover

ELECTRIC LIGHT & POWER

January 2014
cover