New plan for future of LI's power utility
Gov. Andrew Cuomo has announced a complete restructuring of Long Island's power utility following the lackluster response by the Long Island Power Authority in the aftermath of Superstorm Sandy last fall.
The legislation Cuomo would like to see put forward and passed this legislative session includes moves to improve the utilities' service, privatization of utility operations, stabilizing rates, improved customer service and emergency response, the reduction of LIPA debt and increased oversight. As part of the re-structuring plan LIPA's day-to-day responsibilities as a utility company would also be handed over to the Public Service Electric & Gas Company and LIPA would remain a holding company.
"LIPA is broken," Cuomo said at the press announcement. "It is the status quo and it has failed. Poor customer service, high rates, the large debt load which hasn't been getting reduced, insufficient and antiquated structure and failure to perform — especially during natural disasters … It's not a new situation — LIPA's failure — but I think the storm was the straw that broke the camel's back."
LIPA has for a long time consisted of a bifurcated structure because of its heavy dependence on its partnership with National Grid. However, the nonprofit electricity provider that serves more than 1 million customers throughout Long Island is nearing the end of its service agreement with National Grid and it seems Cuomo is ready to try something new.
Read more at http://www.legislativegazette.com/Articles-Top-Stories-c-2013-05-20-83841.113122-New-plan-for-future-of-LIs-power-utility.html
