Summary
Consolidated Edison Inc. (ED), through its subsidiary CECONY, has entered into a Joint Proposal with the New York State Department of Public Service (NYSDPS) and other parties for electric and gas rate plans covering the period from January 2026 through December 2028. This agreement, pending approval by the New York State Public Service Commission (NYSPSC), outlines significant changes in base rates, capital expenditure plans, and various regulatory mechanisms for both electric and gas services. The Joint Proposal details planned base rate increases for electric service, commencing with $222 million in Year 1, $473 million in Year 2, and $329 million in Year 3, with a consistent 2.80% total bill impact annually. For gas service, base rate changes are projected to be negative $46 million in Year 1, followed by increases of $170 million in Year 2 and $93 million in Year 3, with an annual total bill impact of 2.01%. The proposal also includes substantial capital expenditure programs for both utilities, indicating continued investment in infrastructure over the three-year period.
Key Highlights
- 1Joint Proposal filed for CECONY's electric and gas rate plans for 2026-2028, subject to NYSPSC approval.
- 2Electric base rate increases are planned for Years 1, 2, and 3, totaling $222M, $473M, and $329M respectively, with a consistent 2.80% annual bill impact.
- 3Gas base rates are set for a net decrease of $46M in Year 1, followed by increases of $170M in Year 2 and $93M in Year 3, with a 2.01% annual bill impact.
- 4Significant capital expenditure plans are outlined: $4.55B, $4.47B, $4.71B for electric in Years 1-3 and $1.09B, $1.06B, $1.07B for gas in Years 1-3.
- 5The proposal includes various mechanisms for revenue decoupling, recovery of energy costs, and potential negative revenue adjustments based on performance targets.
- 6Regulatory reconciliations for a range of expenses including property taxes, uncollectibles, and major storms are detailed, with provisions for customer surcharges or surcredits.
- 7Weighted average cost of capital (after-tax) is projected to increase slightly from 6.98% in Year 1 to 7.10% in Year 3 for both electric and gas services.