New York State Electric & Gas and Rochester Gas and Electric submitted their “Powering New York” plan to the state Public Service Commission this week, outlining a five-year investment strategy to upgrade the grid, address legacy costs, and meet state energy mandates.
The proposal, filed July 1, launches a review process that will include input from the Department of Public Service and other stakeholders, ultimately leading to a settlement agreement determining its impact on customer rates.
“Our customers deserve a modern, resilient grid and top-notch customer service, and this plan enables us to continue our forward momentum,” said Patricia Nilsen, CEO of NYSEG and RG&E.
The plan calls for hiring 1,100 employees across New York and investing billions in infrastructure to address aging substations, 40-year-old utility poles, and growing energy demands. Up to 40% of the proposal addresses legacy costs such as storm restoration, broadband upgrades, and pandemic-related arrears.
Key elements include:
- Grid reliability and resilience: Billions will be invested to reduce outages and improve response times during severe weather events.
- Customer service improvements: Enhanced call centers, billing systems, and digital tools are planned, including $413 million in low-income assistance.
- Vegetation management: $525 million is allocated to prevent outages caused by falling trees and branches.
To avoid steep annual rate increases, NYSEG and RG&E propose spreading the cost over five years. Rate hikes will apply only to the delivery portion of customer bills, which accounts for roughly one-third of total energy costs.
The filing also responds to the state’s “Get Offline, Get Outside” and clean energy goals, with infrastructure upgrades designed to support economic development, broadband access, and climate resilience.
The Public Service Commission is expected to make a final decision in 2026.
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